March 30, 2012 PTI New Delhi

The environment clearance granted to Posco's mega steel project in Orissa in January 2011 will remain suspended till the environment ministry reviews it afresh, the National Green Tribunal held today.

"The environment clearance granted on January 31, 2011 to the project shall remain suspended till such review and appraisal is done by the ministry," a bench of tribunal comprising Justice C.V. Ramulu and Devendra Kumar Agarwal held.

The tribunal pointed out that memorandum of understanding between the Orissa government and Posco states that the project is for production of 12 million tonnes of steel per annum (MTPA) but the environment impact assessment (EIA) report has been prepared only for 4 MTPA steel production in the first phase.

It said the MoEF should take 'policy decision' that in projects of such magnitude the EIA should be done for the complete project.

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