South Korean steel giant Posco, which ostensibly has failed to implement its $ 12 billion 12 MTPA steel plant and captive port projects in Kujanga villages near Paradeep in Jagatsinghpur district in the past seven years, is all set to start its second innings. The steel major desires to execute the proposed project in three phases with 4 MTPA each and construction work would commence once Odisha government hands over at least 2700 acres of land.
This development on an optimistic note came when Posco- India Chairman-cum-Managing Director [CMD] Y W Yoon and Odisha Chief Minister Naveen Pattnaik held a discussion on May 16, amidst National Green Tribunal on March 30, 2012 suspended forest clearance to the project. However, South Korean company simply shielded this.
Its first innings, ostensibly a disappointment, began aftermath an MoU was signed with Odisha government in the year June 2005. But impediments started affecting the transfer of required land by Odisha government including stiff resistance by several anti-project outfits and local residents, procedural and legal hiatus.
In turn, Chief Minister Naveen Patnaik reiterated his old stance of peaceful industrialisation and land acquisition in congenial atmosphere for any industrial project in state. Government had acquired around 2100 acres and would take possession of another 600 acres to suit Posco’s phase one needs. The company would start the work for an 8 MTPA steel plant towards the second half of current fiscal. Chief Minister expressed his optimism during his interaction with Posco CMD.
Seemingly fresh deliberation between Posco CMD and Chief Minister took place reiterating their keenness on the project, starting in a modified manner. Earlier on May 2, South Korean Ambassador Kim Joong Keun after meeting Chief Minister Naveen Patnaik at New Delhi, had stated that Posco could start construction work of the steel project with a reduced plant size, if the requisite land for the proposed steel mill would not be available.
But Posco CMD is unenthusiastic about slimming down the project and assured the Chief Minister that the original project plan still existed and there was no proposal for downsizing and reducing the original 12 billion dollar project. “Considering the ground realities we desire to implement the project in three phases with 4 MTPA each without harming the original proposed investment. And project is slated to proceed in phases once the state government gives us 2700 acre land,” CMD, revealed.
The fresh development in starting of Posco’s second innings has evoked a response of cheers and tears by the several quarters. State ruling BJD government is obviously happy but other political parties, environmentalists, right activists, both anti and pro-project activists have expressed their anguish. Moreover, Posco still faces the old problems; none of its previous blockades affecting the project have been resolved yet.
First and foremost issue of Posco lies in land. The state government says that around 2100 acre land has been taken into possession, and another 600 acres to suit Posco will be acquired by the consent of land owners. Meanwhile, about 500 acre land has been handed over to the company and lease deed has been executed by the IDCO with Posco-India. However, in reality, till date Posco has not acquired even an inch of land at project site villages. Interestingly, the company had inclined to start a temporary mobile office at Nuagaon village where the district administration had acquired more land for project, the office was kick-started but after passing one week, the office was abruptly closed down owing to stiff resistance by both anti and pro-project people of the locality.
The anti-project people at Dhinkia, Gadakujanga and Nuagaon are not happy with the Posco’s second innings. They claim that the government cannot start work for Posco without complying with the forest laws. As such, National Green, Tribunal on March 30 suspended forest clearance to the project. The government has no right to do anything in absence of a statutory clearance which is legally needed as per laws, maintains anti-Posco leader Abhya Sahoo. Meanwhile, the project opponents have sealed all entry points and are keeping guard with the wooden barriers on the village outskirts, prohibiting the entry of government and Posco officials and the police into the villages. They also held a meeting at Balitutha recently where they chided the people into power who ignored to see the reason behind opposition of the project and declared war on state government and Posco’s proposed second innings.
By Kahnu Nanda from Paradeep
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