Vedanta decides to sell Sterlite plant in Thoothukudi?

CHENNAI: Vedanta’s Thoothukudi based Sterlite plant is now open to Expression of Interest (EOI) since its shut down in 2018, according to reports.

A series of protests were initiated in 2018 against the Sterlite plant. On May 22 of the same year, a siege protest was declared before the Collector's office. Due to large crowds gathered to take part in the anti-sterlite protests, police opened fire and as a result 13 people were killed.

Following the incident, the Tamil Nadu government issued an order to close the Sterlite plant on May 28 and a case was filed by Vedanta against the order in the Madras High Court.

The trial court ruled that the ban on the closure of the plant by the Tamil Nadu government would continue and ordered the dismissal of the petition filed by the Sterlite management. Vedanta appealed to the Supreme Court against the order of the Madras High Court seeking permission for the Sterlite plant.

Later, Sterlite filed a petition in the Supreme Court, seeking permission to produce and supply medical oxygen free of charge at an oxygen production facility on the Sterlite plant premises.

Following the hearing of the petition, the Supreme Court allowed the production of oxygen for only 3 months at the oxygen production plant in Thoothukudi.

Subsequently, in an interim petition filed by Vedanta in November 2022, it was stated that the plant should be allowed to carry out maintenance work, as the machinery in the plant was damaged with rust. In response, the Tamil Nadu government sought to dismiss Sterlite's petition with a fine which was followed by the Supreme Court’s rejection of Sterlite's request.

As a result of the preceding events, Vedanta has decided to sell the Sterlite plant in Thoothukudi. The submission of EOIs is due at 6pm on July 4, 2022, reports suggested.