The National Green Tribunal has ordered NLC India Ltd (NLCIL) to deposit ₹5 crore with the District Magistrate, Cuddalore, within two weeks to meet claims for compensation as an ad-hoc arrangement. The case relates to the explosion of a boiler in Unit-V of the thermal power station on July 1, in which 13 employees lost their lives.
The Principal Bench of the NGT also constituted an independent committee, comprising officials of the Central Pollution Control Board (CPCB), the Tamil Nadu Pollution Control Board (TNPCB), the District Magistrate, Cuddalore, and experts from NEERI and IIT-Madras to visit the site and submit an independent report on the sequence of events, causes of failure of the unit, persons and authorities responsible, compliance of norms, extent of damage to life, public health and environment and steps to be taken for compensation of victims.
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The Bench said the committee may prepare a restoration plan and quantify the compensation to be paid. It also directed the Chief Secretary, Tamil Nadu, to take appropriate action against persons responsible for failure of statutory regulatory framework. The TNPCB was issued directions to ensure that the unit did not commence operations till all safety precautions are met.
“The industrial unit is liable to pay interim compensation on the principle of Absolute Liability. Counsel for the industrial unit has stated that in respect of each death compensation of ₹30 lakh is contemplated. We are of the view that the amount may be paid as interim compensation pending final assessment,” the Bench said.
The Bench said those injured also had to be compensated.
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Ordering the company to deposit ₹5 crore with the District Magistrate, the Bench said that if any amount had already been paid towards compensation, it could be adjusted upon showing proof. NLCIL submitted before the Tribunal that the incident was ‘most unfortunate and unexpected in spite of taking all precautions to attend to the maintenance activities.’
The matter has been posted for further consideration on November 3.