Business Standard on Karnataka and Andhra’s wooing of Vedanta University

August 24th, 2010

Following is from http://www.business-standard.com/india/news/rosaiah-invites-aaf-to-relocate-vedanta-university-to-ap/405561/. The highlights are mine.

Even as the Congress and BJP, two parties in the opposition bench in Orissa, are stiffly opposing the setting up of the Vedanta University Project at Puri, two south Indian states, where the government of these parties are in power, are vying with each other to get the project relocated to their respective state.

First it was Karnataka, which had sent feelers to Vedanta chief Anil Agarwal and assured him all support if he decided to relocate the project to the state.

Now, it is Andhra Pradesh chief minister K. Rosaiah, who has gone all out to woo Agarwal to set up the university project in his state. Congratulating Agarwal for entering the shores of Andhra Pradesh through acquisition of majority stake in Cairns India which has interest in KG Basin, Rosaiah in a letter to Vedanta chief has urged him to cement the ties further by complementing the Andhra Pradesh government’s efforts to make the state global centre of learning.

Meanwhile, the fate of jinxed Vedanta University Project appears to be sealed as the company has shifted 26 of its 30 staff at the site to other locations. “All work on the project put on halt and the residual staff will also be withdrawn shortly, said a company official.

In his letter to Agarwal, who is also the chairman of Anil Agarwal Foundation (AAF), Rosaiah said, “I request you to choose Andhra Pradesh as the state has a unique capacity and culture to nurture the institute of your dreams that will put Indian education back on the global map. I depute the chief executive officer of AP Invest, the state government’s nodal agency, to make a detailed presentation to you in this regard. I assure you that the state government will extend every possible support to this endeavour.”

“Your vision of building a research university of the stature of Stanford in India, your dream of providing higher education of global standards to over one lakh students is all the more heartening. My government strongly believes in nurturing great institutions of learning in the state. As part of this vision, we have successfully invited institutions of excellence like Tata Institute of Fundamental Research (TIFR), Chrisitian Medical College-Vellore and Indian Institute of Science-Bangalore to start their academic and research campuses in the state”, the letter added.

AAF had sought around 6000 acres of land for building a university project of international standards in Orissa. The universit was to come up on the Puri-Konark marine drive at an investment of Rs 5000 crore.

The university, when fully operational, was to have an intake of 100,000 with a total construction area of 273.68 lakh sq metres. This proposed university would have a provision for quality higher education and cutting-edge research facility in 95 academic disciplines.

The project could not progress on the ground due to stiff opposition from the locals and opposition parties over land acquisition. Though the company had acquired about 4000 acres on paper, it was unable to take physical possession of the land. “Whenever we went to start work on the project, we were chased away by the local villagers”, rued the company official. Even the initial plan to build a 1000-bed super-speciality hospital at the site met with hostility, he added.

To make the matters worse for the company, the Union ministry of Environment and Forest (MoEF) had put in abeyance its earlier order granting environment clearance to the project.

Entry Filed under: Bhubaneswar-Cuttack-Puri- Khurda area (1),BJP attempt to steal it to Karnataka,Congress attempt to steal it to Andhra,Congress ruled Andhra's overture,Environment minister Jairam Ramesh, Congress MP from Andhra, creates hurdles,Vedanta University, Puri

15 Writeup

  • 1. stingidea  |  August 24th, 2010 at 8:54 pm

    No wonder the Southern states are more developed than Orissa or for that matter any state in Eastern India. Their chief ministers and general population are more progressive. There is rampant corruption in the southern states but there is development too.
    Our people can now sleep in peace with their red check marked towels on their bodies, their bowl of fermented rice and small pieces of fried fish. And since most of the jobs will be down south they can find work there as restaurant cooks, security guards and construction workers. Thank you politicians from Orissa.

  • 2. Bipin B bisoyi  |  August 24th, 2010 at 10:35 pm

    I am inclined to say that it is all politics and Congress at Centre is bent upon not to allow any large project in Orissa which is ruled by BJD. This is unfortunate, given that Center is always preaching equitable growth. The project will be smoothly executed in Andhra Pradesh with full support of UPA. The people of orissa will be on the losing as it had been always……. Be it Vedanta Universityor Vedanta Alumina or Posco. It is time for people to react strongly.

  • 3. Ranjan Nayak  |  August 24th, 2010 at 11:18 pm

    When political parties in Odisha will work together ? Odisha is a backward state because of the leg pulling attitude of Odisha politics and will remain backward till this attitude doesn’t change. While a same political parties are welcoming an university project in a different state why the same party opposing in Odisha. When our state politicians will stop doing politics with development projects. Please stop opposing developments just for the sake of opposing or for your personal benefits.

  • 4. Purna Mishra  |  August 25th, 2010 at 11:01 am

    I just do not see anyway Vedanta will set up the unversity in Orissa. Vedanta became highly leveraged after it borrowed cash to finance 60% of Carin India. They are running close to 3B dollars loan. This would make them stop investing on projects with very little chance of success.

    Let them go to Andhra or Karnataka. It will open enough jobs for Oriyas to work as brick laters and the rest as cooks in nearby dhabbas. An ignorant and emotionally unstable race is destined to stay as laggards.

    Good luck Andhra and Karnataka. When the people who do not have a dollar in their pocket comment about billion dollar investments you know something is wrong.

    Just my 2 cents.

    — Purna

  • 5. mihir  |  August 25th, 2010 at 1:01 pm

    Some days before I mansion here that Cm of a state shoud be dynamics . If you are unsuccessed in exams you can not say that the exams papers are hard , my pen was not worked properly . You should not comment to others for your unsucess. It is time for our cm to learn some thing from bihar ,karnataka,andra.

  • 6. R.K. Ghosh  |  August 25th, 2010 at 1:39 pm

    I am just commenting on last paragraph of this blog post.

    Yesterday I watched a TV debate on times now on Vedanta controversy regarding withdrawal of permission for mining buxite from Nyamgiri hills. Two persons apparently closed to govt of Odisha put their views saying that supreme court has allowed operation of alumina refinery and all the relevant rules and conditions were met by vedanta. However two environmental activists pointed out that the capacity of refinery has been raised illegally from 1million tons to 6 million tons for which vedanta has not received any permission. Mr. Saxena (the chairman of Saxena committee which was formed by MoEF to monitor vedanat’s mining activities around Nyamgiri and Lanjjigarh) was very critical and charged that odisha bureaucrats colluded with vedanta to allow illegal mining. Both allegations were not rebutted. The representatives defending govt failed measurably to argue govt stand. In fact, odisha Chiefminister had met MoEF and PM just the previous day to lobby for environmental clearance concerning Posco and Vedanta. So MoEF’s decision is clearly a snub. If odisha govt had done their homework properly and adhered to rules then perhaps such a problem may not have arisen. Now according to news paper reports, even vedanta’s view is that OMC (a odish govt enterprise) is responsible for mining activities. Vedanta has not flouted any rule. By implication, if at all, it is the govt of odisha who should be blamed. Then environmental activists went on to say that the impacts concerning abuse of natural resources such water in captive power plant, and the pollutions created by the plant are not yet under lens. The representatives defending govt of odisha were only trying to put forth the development plank and the compliance of supreme court directives. The development plank was debunked by environmentalists who say only 2000 people have been offered employment in Vedanta plant rest 6000 odd are working as contract labors. I have neither visited the place nor do I hail from the place. But it appears there is some problem in Vedant operations in odisha which is exacerbated perhaps by a fair amount of mishandling from govt side.

  • 7. Abhisek  |  August 25th, 2010 at 5:20 pm

    BJD’s clout at the national level has waned considerably after it deserted NDA. The Left alliance on which the BJD was leaning has withered away. With only a handful of MPs not belonging to any of the principal poles of Indian politics BJD will find it difficult to push through the industrialisation process that it has started. With 20 more projects up for review by the MOEF including Gopalpur and Dhamara ports, wish the ruling party becomes a little diplomatic in dealing with the center. When the PM in waiting of Congress has started doing politics on this issue, Orissa will have many more anxious moments going forward.

  • 8. chandra  |  August 26th, 2010 at 9:00 am

    Dear Sir,
    Here are some of the facts about vedanta that needs to be mentioned.Please note that this is not against or for vedanta but only facts –

    1) Lanjigarh the place in kalahandi was a very backward region of orissa.Vedanata was the first and only company interstead in setting up a refinery in lanjigarh till date and has actually done so.
    It has actually invested a large sum of money there.

    2)Vedanata was not resposnible for mining.OMC was responsible.So forest clerance was denied to OMC. how MoEF has put vedanata in its direction is a cause for worry.

    3) the speed in which files moved after saxsena commitee report moved is just amazing.it seems it was pre determined. why there is a long wait and why was the order so speedily decided? Is it because congress or BJD or something else

    4) Lanjigarh employs many oriyas since very few non oriyas are willing to work there. so you can say percentage is very high there way above govt mandate.

    Dear sir, people in this blog are very confused with the data points. If you do allow i have some very nice fact finding articles on vedanta and posco and other projects which i want to publish. Please let me know if you have any guidelines as such.

    Regards,
    Chandra

  • 9. MIHIR  |  August 26th, 2010 at 11:24 am

    It is clear that Odisha need a dynamics CM .

  • 10. Chitta Baral  |  August 26th, 2010 at 12:28 pm

    Chandra:

    See the article at http://www.orissalinks.com/orissagrowth/archives/3944 . You may put your articles in the comment section of that article. After I read them, I may move them to the main section.

  • 11. R.K. Ghosh  |  August 26th, 2010 at 1:14 pm

    Just a correction to what I wrote earlier on Rahul Gandhi’s visit. It is scheduled today. He will visit both Niyamgiri and Lanjjigarh for what being projected as “Adhivashi Adhikar day” celebration.

  • 12. Debi P. Sarangi  |  August 26th, 2010 at 4:50 pm

    Speechless. I evaluate Odisha chief minister as one of the best in India and perhaps the best in Odisha so far. Please be united and let us be united for the equal development of Odisha. I am sure we will win against all odds. Even if we don’t have a strong political class like other states, we have come up a lot. Still much more to be covered. Lets win, come what may. Lord Jagannath is with us.

    Vande Utkala Janani

  • 13. mihir  |  August 27th, 2010 at 11:36 am

    I know that if my team is lost then I don’t blame to others. The lost that I will take myself. I shoud not blame to my team members or opposite players. I should review the game statistics that I have been following . Every time I don’t blame to opposite. This is the universal true. I should try to strong my week point. Very honesty Iam saying now Odisha peoples are more intelligence then before. It is time for our Odisha govt. to review all the failure.
    We Should learn some good points from others state Govt. otherwise we will again lost the game.

  • 14. Rasmi Ranjan choudhury  |  August 31st, 2010 at 9:00 pm

    I am Feeling My self Bad because of these dirty poltcians we are loosing such a big projects and such vedant kind worldclass university .I will Request all oriya people can we fight for this

    And my question How many days we oriya people work in other state as labour and security guard and go to other state to study.
    why all these facility not available here?

  • 15. Debasis Mishra  |  September 7th, 2010 at 8:09 pm

    I am a regular reader of all the news and comments posted here.
    I too agree with Chandra on Vedanta’s world class university issue.
    To be honest, I am not against the world class university (WCU) proposed by Vedanta.
    There are differences in establishing industries and educational institutions [pointing Vedanta in the present context].
    Please check the news on 02-09-10 regarding Vedanta’s Lanjigarh Alumina etc for reference. There are many news/controversies against Vedanta in the past and recent times.
    http://pragativadi.com/
    Vedanta company is much business oriented from its inception, its natural to ask whether Vedanta will establish its WCU or has some other big plans to do in such huge area.
    As far as quality of the said WCU is concerned, only time will tell (if its built) [as per the past records, Vedanta faced a lot of controversies which were relevant against Vedanta]
    Its very early to comment on the quality of education/research which Vedanta’s so called WCU going to impart.
    Why Vedanta needs such huge area to built its so called world class university.
    Do the MIT, UC, Stanford, Harvard, and many other good Univ./Insts. in USA, Europe and IISc, TIFR and IITs campuses are so big??. Most of us know that these campuses are not so big compared to Vedanta’s proposed WCU.
    Are they not world class??
    Govt./we should double check Vedanta before offering him many hectares of land and other facilities.
    Vedanta might be thinking from different angles, such as to acquire the land first and then utilize those land in other purposes etc [I just speculate taking into account Vedanta’s past records, only time will answer, wait!!]

    As per one suggestion by Prof. Baral, if Vedanta is interested in establishing educational institution of high eminence, then it should pick one branch of science/engineering and try to excel in that in some small/ rented campus. It’s a very good suggestion.
    Slowly if its performance is up to mark then Govt./ we should think of offering some land but not the huge area as asked by Vedanta. Vedanta should try to pick few branches of science/engineering not all the available disciplines and should try to excel in a long run. (Lets recollect one famous proverb taught during our school days which all of us know, “Jack of all trades and master of none”!!).

    Govt. should think of long term benefits.
    It would be better if such proposed world class university is built in our state and quality is maintained.
    Not only Vedanta, there are many such companies who are destroying the land mass, natural resources etc. Govt. offered them land for short term benefits only and forgot other issues.
    Vedanta company/ and many others always throw few crores of money to pass the bill in favor of them but we as honest and responsible citizens should raise our voice against improper handling of land/environment etc. by Vedanta and others.
    Just to mention, the elementary education in our state is in a very bad shape now. Not sufficient and qualified teachers in schools, then what can you expect at primary level. Also at higher secondary/PG levels there are not sufficient number of lecturers.

    What to do with so called WCU??.
    Govt./private sectors should come forward to impart quality elementary education. The state where more than 50% people are below poverty line, can they send their children to DAV, DPS and other English medium schools.
    http://www.indianexpress.com/news/bpl-numbers-in-orissa-nearer-to-84-pc-stud/518091/
    Can poor parents send their children to private engineering/medical colleges/universities etc, where the donation and the fee structure are known to all of us.
    Now education is just a rich affair, if the parents have enough money then can provide higher education to their children.
    Anyway, it’s a longstanding problem, which may take few more decade to solve, lets wait for the future.

    Its always better to have industries and good educational institutions in our state. But Govt./we (we have the rights and duties) should think twice and check whether the said company abide all the rules and regulations pertaining to environment act and others. Also we should check whether the quality is maintained or not and local people (particularly those who loss land) are getting benefit out of it or not.

    I just wrote what I feel, I don’t have any political and other deals.
    Feel free to comment on this. Your suggestions and corrections are always welcome.

    Thanks and regards,
    Debasis


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