Posco gets forest clearance, but unsure about kick-starting work

BHUBANESWAR: POSCO India, which got clearance from the Union environment ministry to acquire forest lands for its proposed Rs 54,000-crore steel plant in Orissa, is non-committal about an early start of the project as it is yet to hear from the state on transferring the required land.

“It is alright that we have received the forest clearance. But everything depends on the state government for starting the work at the proposed plant site”, a senior executive, who wished to unidentified said here on Friday.
Construction of the project was originally scheduled to start in April 2008.

Stating that 90% or nearly 3,600 acres of the 4,004-acre land required for the project belong to the state government, while the rest remain under private control, he said the authorities are yet to hand over any land to them.

The state has so far transferred only 516.74 acre to the company through a lease deed. “We are yet to acquire an inch of land at the proposed plant site near Paradip,” he said, adding they cannot make any progress unless it is provided with the requisite land.

However, Posco India general manager-external relations Simanta Mohanty had said on Thursday that the company got the clearance from the Union environment ministry on December 30 to acquire forest lands and is keen to start work soon.

“We are ready to commence work on the much-awaited project any day now,” Mr Mohanty had said, adding the foundation stone could be laid any day. Though the company is all set for the work to begin as soon as possible, it may not get the required land at the site, the executives pointed out adding there is nothing significant to bring cheer after getting the final clearance from the Union Ministry.

While Orissa chief minister Naveen Patnaik has been saying that his government is for peaceful industrialisation, the people opposing the project are in no mood to allow the project.

The activists of the CPI-backed Posco Pratirodh Sangram Samiti has already announced their preparedness to sacrifice their lives for protecting the “fertile” land demarcated for housing the 12-mtpa greenfield steel plant.
As the opponents are adamant on their stand in opposing the mega project, it is very difficult for the state government to acquire the land and hand them over to the company, they said.

Though top Posco officials, after their meeting with the Patnaik a few months ago, had expressed optimism about beginning the work at the site in January, little progress has since been made in land acquisition, sources pointed out.
Sensing the ground realities, the company officials are now making efforts to win the confidence of the local people and highlight the manner in which the proposed project will benefit them, they said.