The Hindu Business Line : Construction work will begin as scheduled: Posco

Bhubaneswar, Jan. 6 Even as Posco India continues to face opposition to its steel plant project, captive port venture and proposed mining, the company is hopeful of starting construction work on its proposed 12 million tonne steel plant on April 1.

“The groundbreaking ceremony for the steel plant will be held as per schedule on April 1, and if opposition continues from the residents of Dhinkia village, we will exclude that from the project area,” the Posco India Chairman-cum-Managing Director, Mr Soung-Sik Cho, told Business Line here on Saturday.

“We can go ahead with the construction of the first phase of the steel plant by excluding Dhinkia,” Mr Cho said. The first phase construction of the steel plant would be completed by 2012, two years behind the original schedule, according to Mr Cho.

Claiming that the people of the remaining seven villages had come forward for discussion on the rehabilitation and resettlement package, Mr Cho said opposition to the steel project was now limited to Dhinkia village.

Referring to the agitation by the Posco Pratirodh Sangram Samiti that was being led by Mr Abhay Sahu, a local Communist Party of India leader, from Dhinkia in Jagatsinghpur district of the State, Mr Cho said the CPI was opposing the project “just for the sake of opposing, and to draw political mileage”.

The company was willing to take part in any discussion to clarify details of its plans before those opposing the steel project on various grounds. With regard to the argument that the company should buy iron ore at market price instead of taking iron ore mines on lease, Mr Cho said they would suffer losses if they would have to purchase ore from the market. “If we do not get captive lease of iron ore mines in Orissa, we may opt for other States in the country having better infrastructure facility,” he said.

On the opposition to the company having a captive port, Mr Cho said the company wanted to have a captive port as the Paradip port that existed in the area was already facing traffic congestion.

About the apprehensions expressed by many that the company would export huge quantities of iron ore with a captive port at its disposal, Mr Cho clarified that the company cannot export any amount of ore without State Government’s knowledge.

As regards displacement of people, the POSCO-India CMD claimed thatthe company would take every step to ensure a better life for thefamilies who would be displaced to make space for the mega steel mill. Of the 471 families facing displacement by the Posco steel plant project, 162 belong to Dhinkia village. But going by the R&R policy of the State Government that counts 18-year-old boys as a separate family, the total number of families facing displacement was 726, including around 200 from Dhinkia.