Tata Steel Projects `on Schedule'Published by MAC on 2006-05-11
Tata Steel Projects `On Schedule'
11th May 2006
`We are in a position to solve problems regarding displacement of tribal people'
MUMBAI: The massive expansion programme of Tata Steel through greenfield projects across three locations, which will see the company add 23 million tonnes capacity over the next few years, is progressing as per schedule and the company does not foresee any problems.
Addressing the media here on Wednesday, B. Muthuraman, Managing Director, Tata Steel, sought to put to rest any speculation regarding the projects schedule being affected adversely. The three projects would cost about Rs. 67,500 crore and would be funded through debt and internal accruals. He ruled out a rights issue to finance the projects.
The projects in Jharkhand, Orissa and Chhattisgarh will displace around 700 families in each State. While the Jharkhand project will cover around 5,000 acres, Orissa and Chhattisgarh projects will cover around 3,000 acres each.
Earlier, issues had been raised regarding displacement of tribal people particularly in Kalinganagar, Orissa, where police firing led to some fatalities a few months ago. "Typically, large projects covering large tracts of land acquisitions always pose challenges in India. We are tackling the issues and are in a good position to solve all the problems.
"It is important for us to rehabilitate and resettle all those who are affected. The people of the area are, in fact, welcoming the project. They are aware that they will get employment, training and the plant will see the setting up of several ancillary industries.
"The main issue is of some other people trying to take advantage of the situation,'' the Tata Steel MD said.