Ind-Bharath Thermal Power Company Limited (IBTPL) had proposed to set up a thermal power plant at Hanakon near Karwar . Before the start of project work, it faced stiff opposition form the local as well as environmentalists. Opposition to the project is building up as residents and environmentalists feel that it will destroy the biodiversity in the region as it is sought to be located in the Western Ghats. The Anshi National Park in Karnataka and the Cotigao wildlife sanctuary on Goas south eastern border are within 25 km of the project  Looking at the stiff opposition from the people, a three-member committee had been formed constituted by the Union Ministry of Environment and Forests to judge the situation. The committee had raised objection to the permission granted to the Hanakon thermal power project. According to the committee, the thermal power company, in its Environmental Impact Assessment (EIA) report, had said while seeking permission for the project that there was no national park, wildlife sanctuary within the 7 km periphery of the project site. The committee pointed out in the report that Cotigoa Wildlife Sanctuary of Goa was within 5 km radius of the project site. The committee report quoted the letter of the Deputy Conservator of Forests, Wildlife Division, Dandeli, Uttara Kannada District, that the proposed project site is located at a distance of about 10 km from Dandeli-Anshi Tiger Reserve. The committee said that the site identified was not sufficient for the proposed project. The report also pointed out that the cement plants to which ash was proposed to be supplied were either not functional or were too far off to be transported. And, if the ash was proposed to be disposed off in Kali river, that was objected to by the locals. Besides, if the project was given a go-ahead, then the fishing community would lose their means of livelihood and mangroves would be destroyed. The report cited a rule that no cooling water discharge shall be permitted into estuaries or near ecologically sensitive areas such as mangroves, spawning and breeding grounds of aquatic fauna and flora [2, 3] A huge protest rally was taken out in Karwar in July 2009, against the proposed thermal power station. Thousands of people participated in the rally and submitted a memorandum to the district administration urging them to stop the thermal project. Leaders of different political parties and the social organizations were present during the protest rally .