Why scoff at a cancer hospital built near Raipur by Vedanta, the aluminum corporate, or the proposed Vedanta University in coastal Orissa?

April 25th, 2010

The Outlook article http://www.outlookindia.com/article.aspx?265171 by B. G. Verghese counters well the Arundhati Roy type viewpoints. Following are some excerpts.

… Why scoff at a cancer hospital built near Raipur by Vedanta, the aluminum corporate, or the proposed Vedanta University in coastal Orissa? Are these by definition all wicked enterprises? Arundhati extols the joys of sleeping in her private open-air jungle suite in a “thousand-star hotel”. And then she meets the doctor, obviously a dedicated soul, who serves this tribal area. The health conditions in Dandakaranya he describes make her “blood run cold”. It’s a terrible tale of chronic anaemia, TB, kwashiorkor (extreme malnutrition), malaria, severe eye and ear infections…. “There are no clinics, no doctors, no medicines” in this beautiful place for these beautiful people. (The word “beautiful” appears like a recurring decimal). So where do we begin? By burning down the Vedanta hospital?

Are these corporate social responsibility (CSR) actions merely to be seen as bribes to fulfil Arundhati’s prophecy that tribal people will be moved to make way for steel plants, aluminum refineries, mines and dams. Yes, there will be land acquisition and displacement—that is the story of civilisation; but there will also be resettlement, compensation and training for new vocations. Admittedly, this has not always been done wisely or well. But times are changing. New legal frameworks, better norms, closer monitoring, improved R&R and livelihood packages have continuously been put in place.  

… The country needs to lift itself out of poverty and create 12 million additional jobs every year to cope with the population bulge. This requires wherewithal—financial, human, natural resources, managerial, marketing and technological. The vast bulk of the country’s mineral resources and headwaters of major rivers are located in Fifth Schedule areas, where tribal people live. Are these not to be exploited? The corporate world, both public and private, has been dubbed predator—the Maoists have repeatedly attacked the National Mineral Development Corporation in Chhattisgarh. However, the tribals themselves are incapable of working the minerals, apart from scratching the surface. Yet they have a vital stake in the land, forests and environment and must be made stakeholders and partners and trained for ever higher levels of participation. Unfortunately, every effort has been made to stall any kind of development.

There is much virtue in translating Gandhi’s concept of trusteeship in a new and evolving idiom of CSR to which corporates, the state and courts have variously given expression. The new deals being worked out by the POSCOs, Vedantas, Tatas, Mittals and others are greatly in advance of what was on offer even five years ago. These packages and the legal framework around them will keep improving too. India’s diversity defies “one size fits all” solutions; it is in variety and experimentation that best practices will keep emerging.

The corporates may have something to answer for too. Fly-by-night operators are part of the problem but the more responsible entities are becoming part of the solution as huge long-term stakeholders in the enterprises, people and environment they work in. They command the resources, manpower, technology and organisation to deliver. Various partnerships involving community and area development can be forged. This is happening. ‘People’s Tribunals’ keep mouthing yesterday’s tired slogans. They do not see tomorrow; may be they even fear it.

Entry Filed under: Bhubaneswar-Cuttack-Puri- Khurda area (1),Vedanta University, Puri


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