Andhra Pradesh Board for Wildlife has decided to recommend allocation of forest land for setting up of paper and pulp unit by ITC Limited.
The State Board for Wildlife chaired by N. Kiran Kumar Reddy, Chief minister, has decided to recommend the setting up of the pulp and paper unit at Palvancha division in Khammam district of Andhra Pradesh.
During interactions with Business Line, ITC officials had indicated that they expect to invest up to Rs 3000 crore on the new plant close to its existing plant. Working with local farmers, it has created a large base of plantation for its raw material requirement.
The Andhra Pradesh Industrial Infrastructure Corporation, the nodal agency for allocation of land for industries, had requested for allocation of 300 acres of forest land in Kistasagar reserve forest area in the Palvancha division. The ITC unit, apart from creating job opportunity for local people, is expected to create a market for pulp wood for the local farmers with land holding of nearly 6000 acres.
The Conservator of Forests, Khammam has recommended the proposal with certain conditions. This includes retention of growth above 90 cm girth of all species and bamboo except Eucalyptus, annual payment of one per cent of profit after tax or Rs 50 lakh per year which ever is minimum.
As per the suggestion, 50 per cent of this will be utilised for development of Kinnerasani sanctuary and 50 per cent for development of flora and fauna around 10 km from the proposed diverted land for industry.
The area of diversion comes within a distance of 5.66 km from boundary of the wildlife sanctuary located in the eco-sensitive zone.
The paper ITC Badrachalam Paperboards Limited shall be directed to make a one time deposit of Rs 8 crore and the interest derived from this capital will be utilised for developing the forests and wildlife in the vicinity of the factory.
rishikumar.vundi@thehindu.co.in