Monday, August 13, 2007

Orissa Govt To Re-Evaluate Land For Industry

Bhubaneswar: The Orissa government intends to make realistic assessment of the land requirement of various industries interested in setting up manufacturing facilities in the state. The government is worried over the resistance of the people to land acquisition and allegations of land grabbing by industrial houses in the name of setting up industries. In the process, the government has decided to take a re-look at Arcelor-Mittal''s land requirement for its proposed 12 million-tonne-per-annum steel plant in Keonjhar district''s Patna Tehsil. The company has sought 8,000 acres for the project, which includes land for construction of a 750MW captive power plant and a civil township. However, all indications are that only a ''reasonable'' piece of land will be given to the company.

Regarding the reassessment of the land requirement by Arcelor-Mittal, he said that the proposal is being evaluated, and it will take some time to complete the process and arrive at a decision. Interestingly, the land issue also figured in the discussion between L N Mittal, CEO, Arclor-MIttal with the chief minister Naveen Patnaik and other senior government officials during the former''s recent visit to the state. The Arcelor-Mittal group had signed a memorandum of understanding (MoU) with the Orissa government to set up a green field steel plant in December 2006. The estimated investment of the project is about Rs 40,000 crore. MN Dastur & Company, commissioned by Arcelor-Mittal, is preparing a detailed project report on the integrated steel project, which is expected to be completed by middle of the next year. The report would include captive mining facilities, power supply, water supply infrastructure and other facilities as required, including setting up townships for employees.

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