September 25, 2010 2:04 PM

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Fix displaced and let projects run, says Pranab

The Centre says people being displaced in the mining projects should be provided alternative sources of livelihood. The Government response came amid tribals protesting against some mining projects. Finance Minister Pranab Mukherjee said that adequate compensation should also be given to them. He, however, said that solution did not lie in stopping projects. Mukherjee asked coal companies to make investment in coal washing to realise better returns in the long run. Mukherjee’s comments come at a time when a Group of Ministers (GoM), of which he is the head, is deliberating upon a proposal to give tribals a part of profits in mining projects. The GoM has proposed that 26 per cent of the net profit of mining projects should go to the displaced tribals and other affected locals. Meanwhile, the Mines Ministry has said its final draft will go with the recommendations of the GoM. An estimated Rs 1.5 lakh crore worth of greenfield steel projects of ArcelorMittal and Posco have been delayed for about 5 years due to tribal protests against land acquisition in Orissa and Jharkhand.

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