The Board of Utkal Alumina International (Utkal) has decided to reduce project activities until acceptance from a majority of local stakeholders is manifested and a dialogue established with all organized groups that in a significant way represent these stakeholders.
In all its activities, Utkal has focused attention on environmental protection and social responsibility in accordance with international guidelines for Corporate Social Responsibility (CSR).
Strong local support in favour of the project has been manifested, but there is also a strong and uncompromising opposition.
A political debate is currently in progress in the State of Orissa about which areas are to be developed industrially. Utkal will not take part in this debate, but will fully support any efforts initiated by the Government of Orissa aimed at resolving the conflict in the project area. Utkal hopes that the reduction of project activities and initiative to dialogue can reduce tension in the area, which today affects the lives of many people. Utkal also hopes to contribute to a climate that can help the people of Kashipur to develop their human and natural resources for sustainable benefit of all, based on their free and informed choice.
Even though project activities are to be reduced, Utkal will maintain and strengthen its dialogue with all relevant parties in the area. Utkal will continue to support Utkal Rural Development Society, an increasingly independent and professional trust, working for long-term sustainable development in Kashipur, Orissa.
Hydro Aluminium holds a 45 per cent interest in Utkal,. while Alcan holds 35 per cent and Indian Aluminium Company, Indal, the remaining 20 per cent.