Thursday, April 28,
Citing delays in ventures like ArcelorMittal and POSCO due to regulatory and land acquisition hurdles, Steel Ministry has proposed to set up “Ultra Mega projects”.*
Each Ultra Mega Steel Project (UMSP) is to be built on fast track basis using super critical technology on the pattern of Ultra Mega Power Projects (UMPPs). the cost of such projects might be around Rs 50,000 crore.
The steel ministry has raised concerns over rising imports that grew seven-fold in the decade to about 10 Million Tonne at present.
The Joint Plant Committee (JPC) appointed by the ministry has favored setting up of plants having a capacity of 10 Million Tonne per annum beginning the current fiscal, said a Steel Ministry official.
“India will need 145 million tonne (MT) steel capacity by 2015-16, almost double the present, which is not possible through expansion of brown-field projects that will reach limit in three to five years,” the official said.
India at present has capacity to produce about 78 MT. New projects like ArcelorMittal are still to take off and under the circumstances JPC, headed by Joint Secretary Steel , UP Singh, has stressed the need to set up 10 MT Mega Steel Project (UMSPs) each in Jharkhand, Orissa, West Bengal, Chhattisgarh and Karnataka.
Source: The Economic Times
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