Odisha
,
Trilochanpur
,
Jagatsinghpur
Published :
Oct 2016
|
Updated :
March 20, 2026
Industrial development, compensation, and employment disputes: The IOCL Paradeep Refinery case in Odisha
Reported by
Sibasish Ray
Legal Review by
Anmol Gupta
Edited by
Anupa Kujur
Households affected
8000
People affected
2002
Year started
1353.7
ha.
Land area affected
Households affected
8000
People Affected
2002
Year started
1353.7
Land area affected
Key Insights
Sector
Industry
Reason/Cause of conflict
Petroleum and Gas
Conflict Status
Ongoing
Ended
Legal Status
Region Classification
Rural
Unclassifed
Sector
Industry
Reason/Cause of conflict
Petroleum and Gas
Conflict Status
Ongoing
Ended
Legal Status
Region Classification
Rural
Ended
1
Summary

The conflict between Indian Oil Corporation's (IOCL's) Paradeep Refinery and the land losers of Trilochanpur of Kujanga tehsil in Jagatsinghpur has waged on for several years. IOCL reached an agreement with Odisha government for setting up its refinery and the initial stone was laid down as far back as 2002. IOCL promised an investment of Rs 35,000 crore for making 9 million tonnes of oil per annum, which by the date of commissioning the project was revised to 15 million tonnes.

About 3,345 acre of fertile land was acquired for the purpose, in spite of resistance. The compensation paid was not deemed to be sufficient by the people and further, they were also denied jobs. The land losers have formed a front in the name of Jamihara Chasi Sangh for their land rights. Though the refinery was commissioned by the Prime Minister in February 2016, the conflict has intensified. In 2018, the villagers staged a dharna in front of the refinery, reiterating their demand for permanent jobs.

The protest was called off after the government administration intervened and mediated talks with the refinery management and affected families to reach an amicable settlement. “The company agreed to engage 100 people in the first phase within a week. The other eligible families would be engaged on contract at a later stage," said additional district magistrate Kanhu Charan Dhir.

At the May 2018 meeting of the Rehabilitation and Peripheral Advisory Committee (RPDAC) for the project, elected representatives again raised concerns about employment for displaced families and pollution in nearby villages due to the refinery. The convenor of the RPDAC issued directions to IOCL to submit the employment list of land losers and displaced families to the administration for verification of how many of such people have been engaged in the refinery. It further directed the company to prepare a list of 500 unemployed youths of displaced and land loser families and to give training to 100 unemployed youths every year through CIPET for skill development and provide a piped drinking water supply to 17 water scarcity-hit villages of Dhinkia, Fethpur, Bagadia and Paradipgarh panchyats.

Protest again erupted in August 2018, as Punj Lloyd and Simplex Infrastructure Ltd, contracted agencies engaged in Paradeep refinery, ignoring the directive of the district administration to employ local youth and allegedly employing hundreds of youths from outside the state. The protesters threatened to paralyse the construction activities of the agencies if their demands were not met soon. The agitation was called off after police pacified the protesters by assuring to investigate their demands.

In 2021, farmers from Trilochanpur and the adjoining villages under Dhinkia Panchayat alleged that their standing crop of over 300 acres suffered damage due to the discharge of toxic chemical wastes from the refinery. “A white layer has formed on the water due to which the paddy plants are gradually getting rotten. The water has even turned black due to the chemical discharge from the IOCL refinery,” alleged Dhananjay Behera, a villager of Trilochanpur. IOCL refuted the allegations, claiming that no such wastewater was released into farmlands. Villagers have raised the issue several times with the local administration, but no concrete actions have been taken to address it.

In August 2025, IOCL received in-principle approval for the expansion of the refinery from 15 million tonne per annum (MTPA) to 25 MTPA.

2
Fact Sheet

Demand/Contention of the Affected Community

Demand for compensation

Demand for employment

Demand for more compensation than promised

Other Demand/Contention of the Affected Community

Region Classification

Rural

Type of Land

Common and Private

Forest and Non-Forest

What was the action taken by the police?

Arrest

How many people did the police detain or arrest?

22

What is the current status of the detained/accused persons?

Out on bail

Did the person face any violence while in police custody?

No

If any arrests took place, were the accused persons produced before a judge within 24 hours of the arrest?

Yes, they were produced within 24 hours

If the accused was not produced before a magistrate within 24 hours, or not produced at all, what were the reasons?

Legislation under which the accused was charged

Indian Penal Code, 1860

Sections 142, 146, 147, 148, 152, 294

Was the accused person informed of their right to legal representation? Did the accused person have access to legal aid?

Yes they were informed, Yes they had access

In cases where the accused person approached the court for bail, was bail granted?

Yes

Why was bail granted or rejected? If granted, what were the bail conditions and quantum of bail?

Bail was granted in 2021

Were there any other notable irregularities that took place, or other significant details?

No

Details of sources (names of accused, names and numbers of any lawyers, names of any police officers contacted)

Abhay Sahoo (Member Jamihara Krushak Ekta Manch) - 9556666552 Bichitrananda Sen : Advocate - 9556217739

Status of Project

Project underway despite protests

Original Project Deadline

2021

Whether the Project has been Delayed

Yes

Significance of Land to Land Owners/Users

Agricultural land

Whether the project was stalled due to land conflict

Source/Reference

Total investment involved (in Crores):

34555

Type of investment:

Cost of Project

Year of Estimation

2002

Page Number In Investment Document:

Has the Conflict Ended?

No

When did it end?

Why did the conflict end?

4
Additional Information

Government Departments Involved in the Conflict:

Industrial Development Corporation Odisha

PSUs Involved in the Conflict:

Indian Oil Corporation (IOCL)

Did LCW Approach Government Authorities for Comments?

Name, Designation and Comment of the Government Authorities Approached

Corporate Parties Involved in the Conflict:

Indial Oil Refinery

Did LCW Approach Corporate Parties for Comments?

Communities/Local Organisations in the Conflict:

Land Owners

5
Information on the use of criminal law

What was the action taken by the police?

Arrest

How many people did the police detain or arrest?

22

What is the current status of the detained/accused persons?

Out on bail

Did the person face any violence while in police custody?

No

If any arrests took place, were the accused persons produced before a judge within 24 hours of the arrest?

Yes, they were produced within 24 hours

If the accused was not produced before a magistrate within 24 hours, or not produced at all, what were the reasons?

Legislation under which the accused was charged

Indian Penal Code, 1860

Sections 142, 146, 147, 148, 152, 294

Was the accused person informed of their right to legal representation? Did the accused person have access to legal aid?

Yes they were informed, Yes they had access

In cases where the accused person approached the court for bail, was bail granted?

Yes

Why was bail granted or rejected? If granted, what were the bail conditions and quantum of bail?

Bail was granted in 2021

Were there any other notable irregularities that took place, or other significant details?

No

Legal Supporting Documents

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Author
Reported by
Sibasish Ray
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Fact sheet

Demand/Contention of the Affected Community

Demand for compensation

Demand for employment

Demand for more compensation than promised

If any arrests took place, were the accused persons produced before a judge within 24 hours of the arrest?

Yes, they were produced within 24 hours

Was the accused person informed of their right to legal representation? Did the accused person have access to legal aid?

Yes they were informed, Yes they had access

In cases where the accused person approached the court for bail, was bail granted?

Yes

Why was bail granted or rejected? If granted, what were the bail conditions and quantum of bail?

Bail was granted in 2021

Were there any other notable irregularities that took place, or other significant details?

No

Status of Project

Project underway despite protests

Original Project Deadline

2021

Whether the Project has been Delayed

Yes

Significance of Land to Land Owners/Users

Agricultural land

Whether the project was stalled due to land conflict

Source/Reference

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