In a significant development, Vedanta Limited has received relief from the Orissa High Court, which has granted a stay on environmental compensation orders amounting to ₹71.16 crore. The demand was raised by the State Pollution Control Board, Odisha (SPCB) over alleged violations related to fly ash disposal practices.
According to the company’s regulatory filing dated April 20, 2025, the SPCB had issued two letters requesting Vedanta to deposit environmental compensation totaling ₹71.16 crore. The compensation was linked to the alleged non-compliance in the handling and disposal of fly ash, a by-product generated from its thermal power plant operations.
Vedanta has challenged the orders before the Orissa High Court, which has now provided interim relief by staying both letters issued by the pollution control authority. This stay effectively halts the immediate payment demand and further enforcement until a final judgment is delivered.
The company stated, “Vedanta believes it has a strong case on merits and is confident of a favourable outcome.” The company also reiterated its commitment to sustainable operations and compliance with applicable environmental laws and regulations.
Fly ash disposal and its environmental impact remain a critical focus for regulatory bodies, particularly in industrial belts such as Odisha. A stay in such a case indicates that the matter will undergo detailed judicial scrutiny before any penalty is enforced.
This legal reprieve comes at a crucial time for Vedanta, as the company continues to navigate multiple regulatory and operational challenges across its business segments.
