GMDC Reveals ₹663-Crore Compensation Package for Odisha’s Baitarani-West Coal Mine

Gujarat Mineral Development Corporation (GMDC) has unveiled a ₹663-crore 'Land and Resettlement and Rehabilitation plan' to facilitate the operationalization of its inaugural coal mine in Odisha, named 'Baitarani-West.' This significant endeavor involves the acquisition of 354 hectares of both government and private land earmarked for the project.

Roopwant Singh, the Managing Director of the state-owned company primarily focused on lignite mining in Gujarat, highlighted that this marks Phase-1 of land acquisition for the mine, with plans to commence operations by the financial year 2025-26. Singh further outlined that the rehabilitation efforts are slated to commence in the upcoming financial year, 2024-25, marking GMDC's inaugural project outside Gujarat. GMDC currently ranks as the second-largest producer of lignite in India.

The company has meticulously designed a Resettlement and Rehabilitation (R&R) plan aimed at aiding 1,500 affected families residing in and around three villages near the project site. Singh elaborated on the compensation packages offered, providing families with two options tailored to address their needs and mitigate potential disruptions. The land acquisition strategy encompasses 154 hectares of government-owned land and approximately 200 hectares of private land.

Under the first compensation package, each family stands to receive around ₹44 lakh for self-relocation and a one-time cash payment. The alternative package offers a one-time cash payment of ₹20 lakh per family along with a monthly annuity of ₹25,000 for 20 years. GMDC emphasized in a statement the robust compensation and employment framework embedded within the R&R plan, geared towards ensuring the long-term financial stability of affected families and landowners.

Once the plan is executed, Singh envisions GMDC progressing towards the opening of the mine, aiming for a peak rated capacity of 15 million tonnes per annum within the next 5-6 years. This would surpass the company's current lignite production of 9 million tonnes annually from five to six mines. The Baitarani mine is anticipated to rank among the top 20 coal mines in the country.

In March 2023, GMDC secured two coal blocks in Odisha, including the Baitarani-West block in Angul district, boasting a geological reserve of 1,152 tonnes, and the Burapahar block in Sundargarh district with a geological reserve of 548 million tonnes.

HBL