Bengal to clear way for steel cos
The West Bengal government has decided to tone up its act to ensure that the proposed Rs 90,000 crore of investments in the state’s steel sector do not suffer the same fate.
By Sutanuka Ghosal & Rakhi Mazumdar, TNN |
KOLKATA: With a majority of its special economic zones (SEZs) stalled due to land acquisition problems, the West Bengal government has decided to tone up its act to ensure that the proposed Rs 90,000 crore of investments in the state’s steel sector do not suffer the same fate. The state government will set up a committee to exclusively deal with the upcoming steel projects and expedite their implementation.
Several companies, such as JSW Bengal Steel, Videocon Natural Resources, Jai Balaji Industries and Bhushan Steel, have already signed agreements with the state government for setting up projects. Others such as Shyam Steel and Adhunik Steel are keen to invest in steel units in the state. However, one interesting fact is that West Bengal has attracted these investments despite being short on iron ore reserves.
“The companies, which have already signed agreements with the state government, are keen to implement projects at the earliest. We felt the need for setting up a committee, which is expected to be headed by state commerce and industry minister Nirupam Sen, to facilitate investments in the steel sector. The committee will advise the investors in dealing with issues like land acquisition, electricity connections, water, coal and iron ore procurement,” a senior official of the state commerce and industry department told ET.
The crucial task before the committee is acquisition of huge tracts of land for these projects. It is apparent that any land acquisition, whether it is farmland or non-farmland, will face stiff resistance from opposition parties. “The committee will try to settle the acquisition issue with landowners.
The state government is also working on a ‘fair’ acquisition and rehabilitation policy, which will make our task easier,” the officials said.
Apart from land, the committee will also look into issues such as infrastructure and raw material procurement. JSW Bengal, for instance, has requested the state government’s assistance in four-laning highways near Salboni.
Similarly, Bhushan Steel has urged the state government to ensure availability of coal through West Bengal Mineral Development Corporation (WBMDC). States with substantial coal reserves are allotted mines on a nomination basis.
WBMDC, a state government agency, has access to mines, which it could offer to potential investors like Bhushan Steel. The committee would be empowered to fine-tune such issues for mega steel projects.
Several companies, such as JSW Bengal Steel, Videocon Natural Resources, Jai Balaji Industries and Bhushan Steel, have already signed agreements with the state government for setting up projects. Others such as Shyam Steel and Adhunik Steel are keen to invest in steel units in the state. However, one interesting fact is that West Bengal has attracted these investments despite being short on iron ore reserves.
“The companies, which have already signed agreements with the state government, are keen to implement projects at the earliest. We felt the need for setting up a committee, which is expected to be headed by state commerce and industry minister Nirupam Sen, to facilitate investments in the steel sector. The committee will advise the investors in dealing with issues like land acquisition, electricity connections, water, coal and iron ore procurement,” a senior official of the state commerce and industry department told ET.
The crucial task before the committee is acquisition of huge tracts of land for these projects. It is apparent that any land acquisition, whether it is farmland or non-farmland, will face stiff resistance from opposition parties. “The committee will try to settle the acquisition issue with landowners.
The state government is also working on a ‘fair’ acquisition and rehabilitation policy, which will make our task easier,” the officials said.
Apart from land, the committee will also look into issues such as infrastructure and raw material procurement. JSW Bengal, for instance, has requested the state government’s assistance in four-laning highways near Salboni.
ADVERTISEMENT
Similarly, Bhushan Steel has urged the state government to ensure availability of coal through West Bengal Mineral Development Corporation (WBMDC). States with substantial coal reserves are allotted mines on a nomination basis.
WBMDC, a state government agency, has access to mines, which it could offer to potential investors like Bhushan Steel. The committee would be empowered to fine-tune such issues for mega steel projects.
Start a SIP with as low as ₹500 with ET Money App!
Download
The Economic Times News App for Quarterly Results, Latest News in ITR, Business, Share Market, Live Sensex News & More.
The Economic Times News App for Quarterly Results, Latest News in ITR, Business, Share Market, Live Sensex News & More.
ADVERTISEMENT
