Local Economy, People’s Livelihood Severely-Hit By Coal Mine Closure In Assam : IIT Report 

Posted in Assam, Featured, Northeast
  • NET Web Desk

The shutdown of coal mines at Margherita in Assam’s Tinsukia district had a negative influence on the local economy; leading to job loss, lifestyle changes, and labour migration to distant locations with unclear futures.

According to the field-level case study conducted by the IIT-Guwahati’s Just Transition Research Centre (JTRC) showed that “inconsistent support” from Corporate Social Responsibility (CSR) and the District Mineral Foundation Trust could make the situation worse for people dependent on coal after the suspension of mining activities.

Out of the 172 respondents, 108 asserted that there had been drastic changes in the livelihoods of coal workers and non-worker residents of Margherita, following the shutdowns of the mines; informed the JTRC survey – ‘Life After Coal Mine Closure’.

Nearly 52% percent mentioned their level of income had decreased, and 20 percent had lost their jobs. Thirteen percent faced business recession.

For instance, a local sweets shop owner reported that when the mines were open, he used to earn Rs 3-4 lakh a month but after the closure, his business considerably declined, the report mentioned.

Following the shutdown of mines, workers are left with no choice but to take up various work at lower wages, it said.

Mostly, there are no closure plans in place for the contractual workers, leaving them worse off and vulnerable, the report said, citing the experience of Salim Ali, a resident of Hamukjan village, who worked on contract for 17 years as a supervisor in an outsourcing company in Ledo colliery in Margherita and has no regular source of income since 2018 after the mine closure.

Similar is the condition of “more than 250 contractual workers”.

The objective of this study is to find ground reality and socio-economic impact of the closure of mines under North Eastern Coalfields. In view of climate change and environmental degradation, the energy transition is taking place.

Tags: , , , , , , , , , ,
More Articles