SAMBALPUR: Amid allegations of air, water pollution and continued non-compliance with environmental norms, the Sambalpur district administration on Monday initiated closure of multiple units of Shyam Metallics and Energy Limited at Rengali.
Seven furnaces of the ferro alloy plant, two units of the steel melting shop, unit 2 of the pellet plant and TRL kilns III, IV and VI were shut down by the administration, following directions from the Central Pollution Control Board (CPCB) under the Environment (Protection) Act, 1986.
Officials, accompanied by police personnel, entered the plant premises and began the closure process. However, employees involved in office-related work were permitted to enter and exit the premises upon producing valid identity cards.
The CPCB had earlier flagged the plant categorised under highly-polluting industries for adversely affecting air and water quality. Following inspections and subsequent findings of irregularities during fresh checks in March 2026, the board had issued non-compliance notices. Despite prior directives, the company failed to implement corrective measures, prompting the latest action.
Official sources informed that the plant can resume operations only after rectifying all violations and obtaining fresh clearance from the Odisha State Pollution Control Board (OSPCB).
A detailed inspection was also conducted on March 17 and 18, which revealed widespread non-compliance in critical areas such as air pollution control, wastewater management, hazardous waste handling and adherence to regulatory approvals.
The CPCB issued an order on March 30 directing the operations at the plant to be suspended until full compliance is ensured and prior approval is obtained. The company had been asked to submit a compliance report within 30 days, failing which further legal action may follow.
The closure process was carried out in the presence of Sambalpur sub-collector, Pushpanjali Panda, SDPO Tophan Bag, regional officer of OSPCB Satyanarayana Nanda along with representatives of the company.