Rachel Grace Namburi
Background
The Singareni Collieries Company Limited (SCCL) is a pillar of Telangana’s coal industry and a key driver of the region’s economic development. Jointly owned by the Government of India and the Government of Telangana, SCCL has expanded its operations to meet the state’s rising energy demands.
The Jalagam Vengala Rao Opencast Project-II near Sathupalli, Khammam district, is emblematic of this growth, with capacity increased from 4 million tonnes per annum (MTPA) to 10 MTPA and the mining area expanded from 1,409.81 hectares to 1,910.09 hectares in recent years. This expansion, while boosting employment and state revenues, has brought significant transformations to the social, environmental, and economic fabric of rural Telangana.
The Human Impact: Displacement and Shifting Livelihoods
The enlargement of SCCL’s mining footprint has resulted in the acquisition of vast stretches of agricultural and forest land, directly affecting more than 5,000 families in five villages around Sathupalli. Land acquisition and resettlement have been contentious, with families compelled to leave ancestral homes and farmlands. Compensation processes have evolved, but historical and recent legal disputes reveal persistent gaps between official valuations and actual market values.
A landmark case, The Singareni Collieries v. S. Shankaraiah & Ors. (2013), illustrates these tensions. Initially, compensation was fixed at ₹6,000–₹7,000 per acre, later enhanced by the courts to ₹30,000–₹50,000 per acre, plus ₹15,000 per acre for subsoil mineral rights—still falling short of the ₹1,84,000 per acre market value cited by landowners. The Telangana State Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Rules,m2014, were designed to ensure just payment and proper support for those displaced by lands acquisition; however, their implementation is frequently complicated by administrative challenges and disagreements regarding the true value of the land.
Displacement is not merely a matter of physical relocation; it disrupts social networks, erodes traditional livelihoods, and severs ties to cultural heritage. The transition to new settlements often means loss of access to common resources and uncertainty about future income sources, particularly for those dependent on agriculture or forest produce.
Environmental Changes: Forests Lost and Wildlife Displaced
Coal mining in Sathupalli has led to the clearing of dense forests and the fragmentation of local ecosystems. N Joseph Jaideep Mukherji, President and Founder of New Song Community School in Rejerla, a neighbouring village, notes:
“The expansion of mining has resulted in the clearing of what was once a dense forest. We now see wild animals—boars, monkeys, even the occasional leopard—coming into our villages in search of food and shelter. New roads have been cut through fields, changing the way people farm and move. There is real anxiety here about future expansion, as neighbouring villages face the prospect of losing their land and way of life.”
Deforestation has triggered soil erosion, reduced agricultural productivity, and increased human- wildlife conflict. The construction of new roads, while facilitating mining logistics, has disrupted traditional farming patterns and further fragmented habitats.
Health and Social Well-being: A Growing Concern
The health impacts of mining are acute and well-documented. Dust, noise, and water
contamination are persistent issues, with women and children particularly vulnerable. Field research and health surveys in the region have reported elevated rates of respiratory illnesses, skin conditions, and stress-related disorders, especially among marginalized families.
In 2022, the National Green Tribunal (NGT) penalised SCCL ₹41.21 crore for breaching mining limits, contributing to pollution, and damaging water bodies and homes through improper & unscientific blasting. The Tribunal also directed that affected residents receive compensation for property damage and that a portion of the fine support welfare initiatives in impacted communities.
Community Rights and Political Responses
The expansion of SCCL has become a central issue in Telangana’s political discourse. Deputy Chief Minister Mallu Bhatti Vikramarka has called on the central government to allocate new coal blocks directly to SCCL, bypassing the auction process, to safeguard both the company’s future and the livelihoods it supports. “We appeal to the Union government to protect Telangana’s assets and protect Singareni,” Vikramarka emphasized, highlighting the existential threat posed by the denial of new mines.
KT Rama Rao, the working president of BRS, has openly charged both Congress and BJP with attempting to privatise Singareni Collieries Company Limited, warning that such actions would gravely threaten workers’ rights. He has asserted that BRS will lead statewide protests to protect the interests of SCCL employees and ensure that the company remains under public control for the benefit of Telangana’s people.
Local MLA Sandra Venkata Veeraiah has also raised the issue in the state Assembly, demanding lasting solutions for displaced and affected villagers.
These political interventions underscore the high stakes for both the workforce and rural communities, as well as the broader implications for public sector coal mining in India.
Conclusion
The expansion of SCCL’s operations in Sathupalli encapsulates the broader challenge of
reconciling economic growth with social justice and environmental stewardship in India’s resource-rich regions. The evidence from compensation disputes, environmental penalties, and community testimonies demonstrates that the impacts of coal mining are profound and multifaceted. Ensuring justice and sustainability in this context requires:
- Fair and transparent compensation that reflects true market values and accounts for the loss of traditional livelihoods.
- Stringent enforcement of environmental safeguards and proactive remediation for damages.
- Genuine involvement of local communities in planning and decision-making.
- Continuous monitoring and targeted welfare schemes for those affected by mining
activities.
As SCCL’s footprint grows, the experiences of Sathupalli’s residents must inform future policy and practice—ensuring that development does not come at the expense of the environment or the dignity and rights of rural communities.
References
- Singareni Collieries Company Limited, Jalagam Vengala Rao Opencast Mine Expansion, environmentclearance.nic.in
- “Singareni Collieries Company mine blasts leave villagers near Telangana’s Sathupalli town scared,” The New Indian Express, March 2024
- The Singareni Collieries v. S. Shankaraiah & Ors., Casemine, Judgment dated 06-12-2013
- Telangana State Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Rules, 2014
- “Social Issues of Women in Coal Mines,” Global Journal for Research Analysis, August 2014
- National Green Tribunal, Southern Zone, Chennai, SCC Online, 2022-05-09
- “Telangana urges Centre to allocate coal blocks to state-run Singareni Collieries without auction,” Economic Times Energy, 2024
- “KTR charges Congress, BJP with conspiracy to privatise Singareni Collieries,” Telangana Today, 2024
Disclaimer: All views expressed in the article belong solely to the author and not necessarily to the organization.
About the Author
The author, Rachel Grace Namburi, is a Law Student at the School of Law, Lovely Professional University, Punjab pursuing her BA LLB (Hons.) She is also a LPPYF Cohort 5 fellow.
Acknowledgement
The Author expresses sincere gratitude to everyone who provided guidance, with a special thanks to Mr. N J Jaideep Mukherji and Dr. Vibhuti Patel.
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