The state government of Odisha has convened a high level meeting to be chaired by steel and mines minister Raghunath Mohanty to review the progress, or lack of it, in the 50 odd MoUs signed for the steel sector in the last five years.
A government task force report suggests that out of 50 proposed projects, only 29 have achieved partial production, amounting to an output of 8.66 mtpa, or about 10%¬† of the total capacity generation that had been expected.
However the meeting would focus on the physical and financial progress of all mega projects (three million tonne per annum and upwards) with a combined installed capacity of 57 mtpa.
The private players expected to attend include ArcellorMittal India Ltd, Sterlite Iron and Steel Co Ltd, Posco India Ltd, Jindal Steel and Power Ltd, SSL Energy Ltd, Uttam Galva Steels Ltd, Essar Steel Orissa Ltd, Bhushan Power and Steel Ltd, Tata Steel Limited and Welspun Power and Steel Limited.
Issues like land, raw material linkage, physical progress and employment would come up during the discussions.
According to a senior government official the companies have been asked to provide details on steel capacity achieved, capacity of captive power plant (CPP) commissioned, investment made till the end of 2011-12, overall investment made so far, total land requirement as well as land already acquired. These details should reach the government by June 1.
The review meeting acquires added significance, since there are reportedly 20 more companies that have applied for setting up mini and medium scale steel projects, mainly in the Keonjhar and Sundargarh districts where minerals are easily available.