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POSCO FATE ON A TOSS

Updated: March 28th, 2015, 19:00 IST
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Bhubaneswar, March 28: Uncertainty prevails over the commissioning of the Rs 52,000-crore mega steel plant proposed by the South Korean firm Posco in Jagatsingpur district.
The state government Saturday clarified the raw material linkage for the plant is under the Central jurisdiction.
‘‘The state government has complied with all the queries of the Centre regarding its recommendation of prospecting licence (PL) in favour of Posco. The last missive to the Centre on giving PL to Posco was issued November 1, 2014,’’ Steel and Mines Minister Prafulla Kumar Mallick said.
The state government had recommended allotment of 2500 hectares of Khandadhar iron ore reserves in Sundargarh district for the Posco plant. ‘‘The Centre had assured to consider the suggestion, but soon after the introduction of the mining Ordinance, the Centre has gone back on its words.”
Recently, the state government has approached the Centre to reconsider the recommendation, he said, adding; “Now the decision rests with the Union government.’’
When asked whether the state will go the Centre once again on the issue, Mallik said, “As of now, there is no such proposal.”
In a written reply to the state Assembly Friday, Mallik said the state government has complied with all the queries of the Centre regarding its recommendations of prospecting licence (PL) in favour of Posco.
‘‘As there has been no response from the Centre on the state’s request in favour of Posco, we have not put any fresh conditions before the company,’’ Mallick said adding state government January 9, 2009 had recommended 2500 hectares of Khandadhar iron ore reserve for Posco.
However, the Centre had sought more information on its recommendation in favour of Posco January 30, 2014. It wanted clarification on the basis of a March 10, 2013 judgment of Supreme Court, the minister said.
‘‘The steel and mines department on March 6, 2014 submitted all required information to the Centre,’’ the minister said.
The minister further said the Centre sought separate proposals on notified and non-notified areas in Khandadhar iron ore reserve.
‘‘The state in its reply on November 1, 2014 has requested to accord PL to Posco over 2,082.502 hectare of notified area of Khandadhar iron ore reserve,’’ Mallick said, adding the state was yet to get any reply from the Centre.
He said the state government has been in negotiation with the Centre over according PL to Posco over the iron ore reserve instead of putting it on auction.
“This is because, the state government had recommended PL in favour of Posco much before the MMDR (Amendment) Bill, 2015, getting nod of Parliament,’’ the minister pointed out.

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