|Fate of $6bn steel plant in
NEW DELHI (AFP) - The future
of a proposed six-billion dollar steel plant in
eastern India was in doubt recently after the
government raised questions about environmental
clearance given for the project.
Jindal Steel and Power’s proposed
six-million-ton-a-year steel plant in Angul town is
the fourth major project to face problems in the
mineral-rich state of Orissa.
The environment ministry asked the company to
explain why clearance for the project should not be
revoked, accusing Jindal Steel of violating the
terms of environmental approval granted in 2007.
If Jindal Steel’s clearance is revoked, it would be
a major setback for the ambitious expansion plans of
India’s fourth-largest domestic steel producer.
Jindal Steel was not supposed to build anything on
forest land that is part of the project area. But
the Orissa state government has reported
construction activity, such as building of roads and
storage facilities, is taking place in the forest
area, the ministry said.
Sushil Maroo, Jindal Steel’s chief financial
officer, said the company has not received any
environment ministry notice yet.
“We haven’t violated any environmental laws. Our
project has both environmental and forest
clearance,” Maroo said. But he added some “minor
infrastructure work” may have taken place on the