Question : REVIVAL OF UREA FACTORIES

(a) whether the Government are taking any steps to revive the closed urea producing units, particularly in Eastern Uttar Pradesh;

(b) if so, the details thereof; and

(c) if not, the reasons therefor?

THE MINISTER OF STATE IN THE MINISTRY OF CHEMICALS & FERTILIZERS (SHRI SATYA BRATA MOOKHERJEE)

(a) to (c) The operations of the urea producing plants at Durgapur and Haldia (West Bengal), Barauni (Bihar) and Namrup I & II (Assam) of Hindustan Fertilizer Corporation Ltd. (HFC); Ramagundam (Andhra Pradesh), Talcher (Orissa) and Gorakhpur (Uttar Pradesh) of Fertilizer Corporation of India Ltd. (FCI) and Trombay I (Maharashtra) of Rashtriya Chemicals & Fertilizers Ltd. (RCF) have been discontinued due to safety/ feedstock limitation or unviability.

While a decision has already been taken by the Government to close/hive off the Haldia Fertilizer Project of HFC and Gorakhpur plant of FCI as they have not been found techno-economically feasible, process is on to enable KRIBHCO to set up a ammonia/urea plant at the existing site of Gorakhpur plant.

Comprehensive rehabilitation proposals for Ramagundam and Talcher units (FCI), Durgapur and Barauni units (HFC) on the basis of unitwise techno-economic viability are to be submitted to the competent authority in the Government and thereafter for final sanction of Board for Industrial and Financial Reconstruction.

The Government has approved the revival of Namrup units of HFC at an estimated fresh investment of Rs 350 crore. Arrangements have also been made for augmenting the supply of natural gas to these units. The Ammonium Sulphate plant of Namrup-I is to be scrapped as it has been found to be unviable and unsafe to operate.

The restart of RCF’s Trombay I Urea plant requiring major repairs has not been found techno-economically viable and the company has decided not to operate this plant.