The Supreme Court has issued notices to the Centre, Chhattisgarh government, and RRVUNL regarding a plea on tribal forest rights near the PEKB coal block. The court clarified that ongoing mining operations by the joint venture—which includes Adani Enterprises—will remain unaffected. This legal challenge continues to highlight regulatory attention on mining projects in the Hasdeo Arand region.
The Supreme Court of India has issued formal notices to the central government, the Chhattisgarh administration, and Rajasthan Rajya Vidyut Utpadan Nigam Ltd (RRVUNL) regarding a petition to enforce community forest rights near the Parsa East and Kete Basen (PEKB) coal block. The plea, filed by the 'Hasdeo Aranya Bachao Sangharsh Samiti' and other individuals, challenges the cancellation of community forest rights previously granted to tribal groups in the area.
Operational Status
A bench led by Chief Justice Surya Kant explicitly clarified that ongoing mining activities at the PEKB coal block will continue without interference from this legal notice. This is a significant point for investors, as it ensures that the immediate operations at the site, which supply coal to power plants, remain unaffected by the court's latest examination of the case.
Corporate and Project Context
The PEKB coal block is operated through Parsa Kente Collieries Limited, a joint venture between RRVUNL, which holds a 26% stake, and Adani Enterprises Limited, which holds the remaining 74% stake. While the court has provided immediate relief by stating that current mining will proceed, the broader Hasdeo Arand region has been a focal point of legal and environmental debates for several years. For investors in entities involved in this joint venture, the stability of long-term mining plans often depends on the consistent resolution of land acquisition and regulatory clearances in the region.
Background of the Legal Challenge
The petitioners are challenging a verdict delivered by the Chhattisgarh High Court on April 21, 2026. In that ruling, the High Court had dismissed their appeal against the cancellation of community forest rights in Ghatbarra village and upheld approvals for Phase-II mining. The petitioners argue that the process for cancelling these rights violated mandatory safeguards outlined in the Forest Rights Act, specifically citing the requirement for local community consent through the Gram Sabha.
In its previous assessment, the High Court had reasoned that the petition attempted to reopen matters that were already settled by earlier judicial orders, citing principles of finality in litigation. The Supreme Court will now examine whether community forest rights continue to exist in this area and if any remedial measures are necessary.
What Investors May Monitor
Investors may continue to track the progress of this legal case, as the long-term viability of expanding mining phases in the Hasdeo Arand forest region is often subject to regulatory, environmental, and legal approvals. While current operations are secured by the court's clarification, any future orders regarding forest rights or environmental compliance could influence the project's timeline and operational strategy for the operators involved.