JSW Utkal Steel, a wholly-owned subsidiary of JSW Steel, has received the environmental clearance from the Union Ministry of Environment and Forest for setting up a greenfield integrated steel plant of 13.2 million tonnes per annum (mtpa) crude steel.
The company plans to invest about ₹65,000 crore in the proposed modern integrated steel plant with associated facilities. The phase-wise work for the project will start once the land is handed over to the company by the government of Odisha, said the company in a statement on Monday.
Currently, the company has 28 mtpa of steel manufacturing capacity in India and the US. It has set a roadmap to achieve 37.5 mtpa capacity by FY25.
Mega plans
The mega project is expected to generate additional employment opportunities in the region and boost the economy in Odisha. The project is one of the largest in the manufacturing sector to have received MoEF approval after successful public hearings.
The company has also earmarked budgets for social interventions under public health, education, skill development, social infrastructure, waste management, environment, drinking water, women empowerment and so on. Additionally, based on the environment impact assessment, the company has plans to incur expenditure for the environment protection and mitigation measures.
Posco plant
The company is setting up the steel plant near Paradip port where Posco was keen to set up a 12-mtpa steel plant. The JSW project requires 2,950 acres, of which 2,700 acres was acquired by the government for the failed Posco project in 2013.
The Odisha government and Posco had signed a Memorandum of Understanding in 2005. However, the South Korean steel giant had to abandon the project due to multiple reasons from delay in environmental clearances to protests by locals.