May 20, 2014

Manage alternative locations: Crushers

KATHMANDU: Crusher entrepreneurs have demanded that the government to immediately manage alternative location to run their industries or scrap new criteria fixed for crusher industries. They demanded so citing that it is impossible to find proper location on the basis of the government fix rules.


Irate from the government decision to close down the industries not falling under the new criteria after mid-July this year, crusher entrepreneurs have gathered in the Capital halting supply of stone, sand and gravel to put pressure on the government to roll back its decision. They said that the new criteria was impractical and force around 700 crusher and mines industries to close down.

The criteria is based on the Cabinet decision reached in August last year to bring haphazardly operated industries in rule book. It requires maintaining the location of industry 500 metre away from highway and riverbanks, 100 metre from high-tension transmission line. Similarly, there must be a distance of 2-km of such industries from academic and health institutions, locations of historic, religious and archaeological importance, security installations, forest and protected areas and dense human settlement.

“Since we did not find location for running our business, we request the government to help find areas in respective districts and areas where the industries are set up currently,” said Umesh Sherchan, president of Federation of Nepal Crusher and Mines Entrepreneurs while addressing an interaction organised at the secretariat of the Federation of Nepalese Chambers of Commerce and Industry (FNCCI).

Based on the criteria in August last year, the Department of Cottage and Small Industries  have been corresponding with crusher industries to relocate their business within the current fiscal year which end in mid-July 2014. The department says that the new parameter targets to stop excessive and illegal extraction of natural resources including sand, boulders and stones from its rivers and mines that has been creating environmental threats.

 Sherchan said that the government must take action against those operating illegally. “But, the criteria is not practical for operation of any crusher industry and it will leave adverse impact in construction and infrastructure development activities,” he added. The FNCCI and Federation of Contractors’ Association of Nepal (FCAN) have supported the protest of the crusher entrepreneurs urged the government to cancel the criteria, make supply normal and also allow export of crusher industries.  

Pradip Jung Pandey, president of the FNCCI said that halt in supply of sand, stone and gravel at the nearing end of the fiscal year had left negative impact making it hard to complete projects. He added that instead of managing the industries in a better way, the government implemented the criteria which will force to close all industries at the time when the government is in the situation to increase expenses in infrastructure developments.

Agitating crushers entrepreneurs have been halting supply for nearly last one month. Pashupati Murarka, senior vice president of the FNCCI also condemned the new rule. “If there is rule of law in the country, the government should compensate the crusher industries registered by it earlier which are now in the verse of collapse,” he added. It is estimated that the crusher and mines industries have investment of around Rs 80 billion and provided employment to 50,000 individuals.
What in the criteria?
•    Industry has to keep 500 metre distance from highways and riverbanks
•    High-tension line and crusher industry should maintain distance of 100 metre
•    Crusher industry has to be operated in a location maintaining 2-km distance from academic and health institutions, sites of historic, religious and archaeological importance, security installations, forest and protected areas and dense human settlement.

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