Question : SETTING UP OF STEEL MANUFACTURING UNITS



(a) the number of steel manufacturing units under public and private sector in the country, State-wise and sector –wise;

(b) whether there is any plan to set up more such units;

(c) if so, the details thereof including the investment likely to be made;

(d) whether the Government has drawn any time bound implementation programme for these projects ; and

(e) if so, the details thereof?

Answer given by the minister


MINISTER OF THE STATE IN THE MINISTRY OF STEEL (SHRI A. SAI PRATHAP)

(a) The requisite information in respect of public and private sector units is given in Annexure-I and Annexure-II respectively.

(b)&(c): Public sector companies i.e. Steel Authority of India Ltd. (SAIL) and Rashtriya Ispat Nigam Ltd.(RINL) are expanding their capacities through brown-field expansions. SAIL is in the process of implementing Modernization & Expansion plan at Bhilai Steel Plant, Bokaro Steel Plant and Salem Steel Plant. This Modernization & Expansion envisages increasing hot metal production capacity from 14.6 million tonne per annum (2006-07 actual) to 23.46 million tonne per annum by 2012-13. The indicative investment for Modernization & Expansion is about Rs. 59,905 crores. RINL is implementing Expansion plan to raise its capacity from 3.0 million tonne to 6.3 million tonne per annum of liquid steel. Another public sector company i.e. NMDC Ltd. is in the process of setting up a 3 million tonne per annum integrated steel plant at Nagarnar, Chhattisgarh with an estimated investment of Rs. 15,525 crores which is likely to be commissioned in the year 2014.

There are also huge investments proposed by the private sector steel units, which are free to set up their units anywhere in the country, under the deregulated policy regime. Details of investments proposed to be made by some of the major integrated steel units, which have already signed Memoranda of Understanding (MoUs) with the various State Governments, are given below:-

S.
No.	Company	Project / State	Additional	Estimated Investment	proposed	(Rupees in crores)	capacity

i POSCO India Jagatsinghpur, 12.00 51,000 Pvt. Ltd. Orissa

ii Arcellor Mittal Keonjhar, Orissa 12.00 40,000 Ltd. Jharkhand 12.00 40,000

iii Tata Steel Ltd. Jameshdpur, Jharkhand 5.0 20,000 Kalinganagar,Orissa 6.0 21200 Bastar, Chhattisgarh 5.5 16500 Saraikela, Jharkhand 12.0 42,000

iv Essar Steel Ltd. Hazira, Gujarat 3.9 13,000 Paradeep, Orissa 6.0 22600 Dantewada, 3.0 11000 Chhattisgarh Chaibasa, 3.0 11500 Jharkhand

v Jindal Steel & Raigarh, Chhattisgarh 3.6 30,000 Power Ltd. Angul, Orissa 6.0 22,500 Patratu, Jharkhand 5.0 22,000

vi Ispat Industries Ltd. Dolvi, Maharashtra 0.9 1800 Jharkhand 2.8 10,000

# As per information furnished by the respective companies

(d)&(e): Ministry of Steel is closely monitoring the implementation of the public sector steel expansion projects. According to the current status, the aforesaid capacity expansion plans of SAIL and RINL are likely to be completed by the year 2012-13 and 2011-12 respectively.