Economy

AP Cabinet nod for Kadapa steel plant under joint venture

Our Bureau. Hyderabad | Updated on February 23, 2021

To move a resolution against Vizag steel plant divestment

Andhra Pradesh State cabinet chaired by Chief Minister YS Jagan Mohan Reddy on Tuesday approved the setting up of Kadapa Steel plant at a cost of Rs 10,082 crore and Rs 6,000 crore in phase 1 & 2 respectively with a capacity of three million tonne in each phase.

The steel plant, which is under consideration for past few years, is proposed to be taken up through a joint venture partnership. Several steel firms have evinced interest, including the South Korean major Posco in the past.

In another important decision, on the Central government proposal for the privatisation of Visakhapatnam steel plant, the State Cabinet has decided to move a resolution in the Assembly opposing the privatisation and put more pressure on the Union Government against the plan as the State was in favour of its strategic revival rather than divestment.

Briefing the media after the cabinet meeting, Information & Public Relations Minister Perni Venkatramaiah said that a new scheme EBC Nestam will be implemented from the next financial year, under which the government will provide financial assistance of Rs 45,000 for each woman beneficiary aged between 45-60 years at a rate of Rs 15,000 per annum for a span of three years. The Government has alloted Rs 670 crore per annum totalling Rs 2011 crore for three years.

The Cabinet approved the sub-committee report which recommended to return of 2,180 acres given by the farmers to the Kakinada SEZ. This was promised by the Chief Minister during 2019 polls.

The cabinet allocated 165 acres in East Godavari district to Maritime Board for operations.

Andhra Pradesh has decided on Liberty Steel India Ltd as the joint venture partner for construction and development of YSR Steel Plant in Kadapa district

PTI adds:

To start in 2024

The YSR Steel Corporation set March 31, 2024 as the commercial operation date for phase-1 of the project, in which it has been targeted to produce one million tonnes a year of crude steel finished products. “Linkages for other raw materials like limestone, dolomite, quartzite, ferro alloys, are under progress and we will enter into contracts with suppliers before the scheduled commissioning of the project,” a company official added.

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Published on February 23, 2021
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