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Centre assures iron ore supply for Kadapa plant
The Union government is ready to supply iron ore to the proposed steel plant in Kadapa district through the National Mineral Development Corporation (NMDC).
Amaravati: The Union government is ready to supply iron ore to the proposed steel plant in Kadapa district through the National Mineral Development Corporation (NMDC). The AP government and NMDC will sign an MoU soon for the supply of iron ore, a critical raw material for the proposed steel plant.
This was decided at a meeting Union Petroleum and Natural Gas Minister Dharmendra Pradhan had with Chief Minister Y S Jagan Mohan Reddy at the Secretariat here on Friday afternoon.
According to Chief Minister's Office, the two leaders are said to have discussed a host of issues, including the critical iron ore linkage for the steel plant, foundation for which is proposed to be laid in December.
Sources said that it was not yet decided whether the steel plant would be set up by a private entity or by the government. The Union Minister was here to participate in various programmes in the State, including the inauguration of the gas generation station at Nagayalanka in Krishna district on Friday.
He said the State would get Rs 2 lakh crore investments in the next five years since world leaders in petroleum sector were willing to invest in the east coasts. Responding to the state government's request to expedite payment of Rs 81 crore to 16,554 fishermen of Bhairavapalem village in East Godavari district who were affected by the off-shore drilling by the ONGC Limited, the Union Minister directed the ONGC officials to clear the compensation immediately.
The Union Minister agreed that the ONGC should fulfil its corporate social responsibility by earmarking adequate funds. The Chief Minister also sought an equal share of the royalty collected by the Union government from oil and gas companies as the establishments pose various environmental risks and cause depletion of the fish population.
He requested the Union Minister to set up a greenfield crude oil refinery and petrochemical complex in Kakinada as mentioned in the Section 93 (4) of AP Reorganisation Act. He also asked for setting up of a Petroleum University in Kakinada as skilled manpower is required for the upcoming major project of KG-DWN 98/2 of the ONGC.
The Chief Minister said the State would cooperate and extend all possible help to the Centre and is firm on rapid industrialisation.
