Question : BABUPUR STEEL PLANT

(a) the details of steel plants functioning in Madhya Pradesh particularly Babupur steel plant in Satna district;

(b) whether Babupur steel plant has been shut down;

(c) if so, the reasons therefor;

(d) whether rail line casting about ten crores rupees was laid down four years ago for the transportation of high grade stone available in abundance in this plant;

(e) if so, whether said plant has been closed down under some conspiracy due to which thousands of labourers are rendered jobless; and

(f) if so, the reaction of the Government thereto?

MINISTER OF STATE IN THE MINISTRY OF STEEL (SHRI BRAJA KISHORE TRIPATHY)

(a)to(c): There is no steel plant at Babupur, Satna. Only a captive limestone mine of Raw Materials Division, Steel Authority of India Limited (SAIL) is there. The mining operations are suspended, though the mine has not been closed. Due to high silica content in the limestone, there has been a poor off-take by steel plants. Consequent to the change in steel making technology after modernisation of steel plants, low silica limestone is required.

(d)to(f): No rail line costing Rs.10 crores was laid. The rail line was existing since 1967 for loading of rake of 35 box `C` wagons. Due to Railway`s operational problem, their safety requirement and their demand to supply 35 boxes `C` rakes, the rail track had to be modified to accommodate rakes of 58 `N` box wagons. The approximate cost of modification was less than Rs.2 crores.

The mining operation has been suspended as explained above. As such the question of conspiracy does not arise. The workers/labourers have been re-deployed or opted for golden hand shake (Voluntary Retirement Scheme).