Bhubaneswar: Tata Steel, which is setting up a 55,000 MT pa Ferrochrome plant in Gopalpur of Ganjam District in Odisha has no plans to set up a Captive Power plant. Instead, the company will use the electricity from the state grid.
“We have no plans to set up a Captive Power plant for the Ferrochrome Project, instead we’ll use electricity from the state grid. We have already applied for grid connection to the state government,” said Mr. Arun Mishra, Vice President, Tata Steel (Gopalpur Project).
The company has further plans to expand its Ferrochrome capacity at the Gopalpur plant to 3 lakh tonnes per annum to make it Asia’s largest Ferrochrome complex. The first phase of 55,000 MT pa capacity project, which was initially planned to be commissioned by the end of this financial year, would be delayed by another 3 months. Now, the company expecting to commission the plant by next July. The Ferrochrome plant will get Chrome ore from the company’s own Chrome mines at Sukinda in Odisha.
Power cost plays a significant role in Ferrochrome production accounting more than 30% of the total cost of production. Many players, who do not have a captive power plant, use the state electricity for making the alloy at an higher cost.
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