Resource crunch ‘affecting’ Posco: Pradhan

Post News Network/ PTI

Bhubaneswar, May 26: War of words ensued between the state and Central leaders over the delay in commissioning of the Posco steel project in the state for the third consecutive day, Tuesday.
Making the state government responsible for the uncertainty shrouding the Rs 52,000 crore Posco unit, Union Petroleum Minister Dharmendra Pradhan said appropriate steps were not taken to provide iron ore from the Khandadhar mines in time.
‘‘The proposed Posco project failed to take off as Orissa government failed to take right measures for making available mines for the plant for which MoU was signed in 2005,’’ Pradhan told reporters here.
The recommendation of iron ore mines for the plant was sent three days before new MMDR Act came into being, Pradhan said and added that by then it was clear mines would be allocated through auction route following modifications in the law.
Under such circumstances, it was not possible for the Centre to allocate mines for Posco as the government would have been questioned for such a move, Pradhan said.
He said the government was in a habit of dashing letters to the Centre, but did not bother to send proper recommendation for mines for Posco plant in time.
He asked the state government not to blame others to hide its inefficiency which led to uncertainty over the project. He said the state also failed to renew the MoU after the one signed in 2005 lapsed in 2010. The BJP leader said his party favours investment and therefore wants Posco project.
Pradhan said BJP was optimistic about Posco, the biggest FDI project in the country, and the Centre is ready to extend all necessary cooperation to the state in this regard.
Senior BJD leader Pratap Keshari Deb, however, refuted the allegations levelled by Pradhan and said several recommendations were sent long back to the Central government for mines for the project.
Highlighting the achievements of BJP-led NDA government in its first year in office, Pradhan said in the very first Cabinet meeting it took a concrete decision to bring back black money stashed abroad and a special investigation team (SIT) was formed for the purpose.
Stating that the NDA government successfully rejuvenated the economy, he said inflation which was soaring during UPA rule was brought under control, while steps were taken for
generation of employment.
Asserting that auction of coal mines was being done in a transparent manner, Pradhan said that over `3 lakh crore was raised from auction of only 30 mines.

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