The Division Bench of the Bombay High Court consisting of Justices Pushpa V. Ganediwala and A.S. Chandurkar while hearing a writ petition opined that if environmental clearance is not received after a period of one month from the date of the e-auction a bidder would be required to deposit the entire bid amount only to be subsequently told that for want of environmental clearance excavation would not be permissible pursuant to his successful bid. But e-auction notices issued after receiving environmental clearance would present a clear picture before a prospective bidder and it would also indicate the specific period for which the mining lease would be granted.
Facts
The petitioner is in the business of excavation and transportation of sand. Under the revised excavation policy document dated 03-09-2019 such excavation is permissible through e-auction. The respondent no.2 on 18-11-2021 and thereafter on 09-12-2021 has issued e-auction notices and invited bids for excavation of sand from various Sand-Ghats in the district of Akola. The petitioner being desirous of participating in that auction process found that environmental clearance was yet to be obtained by the respondents on the date of the e-auction. It is the case of the petitioner that as per the policy decision dated 03-09-2019 it was necessary for the respondents to have obtained environmental clearance prior to issuing the e-tender notice as excavation without such environmental clearance was not permissible. Since according to the petitioner, the e-auction was being held in the absence of the appropriate environmental clearance, he has approached to this Court raising a challenge to the e-auction notices.
Observations of the Court
The Bench observed that:
“Unless environmental clearance is duly granted by the competent authority it would not be permissible to excavate any minor mineral in the State.”
“If environmental clearance is not received after a period of one month from the date of the e-auction a bidder would be required to deposit the entire bid amount only to be subsequently told that for want of environmental clearance excavation would not be permissible pursuant to his successful bid. This would result in undue hardship and would also restrict a prospective bidder from participating in other e-auctions at other mining sites as his funds would unnecessarily remain locked. On the contrary, e-auction notices issued after receiving environmental clearance would present a clear picture before a prospective bidder and it would also indicate the specific period for which the mining lease would be granted. We do not find any merit or justification whatsoever in the contentions putforth by the respondents for issuing e-auction notices even prior to receipt of the mandatory environmental clearance. We find that the observations made by this Court and the reasons that weighed it in Khemchand Kosare (supra) are relevant even with regard to the revised policy dated 03-09-2019 notwithstanding the fact that the earlier policy dated 10-03-2013 has now ceased to operate.”
Judgment
The challenge as raised to the e-auction notices dated 18-11-2021 and 09-12-2021 on the ground that the same were issued before receipt of environmental clearance deserves to be upheld. Accordingly, the e-auction notices dated 18-11-2021 and 09-12-2021 were set aside. It is open for the respondent no.2 to issue fresh e-auction notice of Sand-Ghats for which environmental clearance from the State Level Committee was issued.
Case Name: M/S. Jai Gajanan Shri Gajanan Building Material Suppliers, Thr. Proprietor, Dilip Sahadeorao More vs State Of Maha., In The Ministry Of Revenue And Forest, Mumbai Thr. Secretary And Anr
Citation: Writ Petition No.5480/2021
Bench: Justice Pushpa V. Ganediwala, Justice A.S. Chandurkar
Decided on: 13th January 2022
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