The multi-product SEZ will bring in more than Rs 2.11 lakh crore of net foreign exchange in 30 yrs
Posco India has sought extension of in-principle approval for its multi-product Special Economic Zone (SEZ) proposed near Paradeep in coastal Odisha.
The approval for the company’s SEZ project expires on October 25 this year. The steel maker has requested the Odisha government to forward its no objection certificate (NOC)/recommendation to the Board of Approvals under Union commerce ministry as required under Rule-4 of SEZ Rules, 2006.
The South Korean steel major has proposed to develop a multi-product SEZ over an area of 1620.48 hectares (4004.22 acres) in Odisha’s Jagatsinghpur district. The proposed SEZ has the potential to be commercially and economically viable. It will attract Rs 53,613 crore of investment, mostly FDI (foreign direct investment). The project will also bring in more than $47 billion (Rs 2.11 lakh crore) of net foreign exchange in 30 years. Besides, it will lay down new infrastructure and generate fresh employment for 48,000 people which includes 18,000 direct and the balance 30,000 indirect jobs.
The company claimed it had made significant progress in securing the minimum required land for the SEZ. It also expected the Odisha government to transfer the minimum required land for its SEZ within this year.
“The Odisha Industrial Infrastructure Development Corporation (Idco) has leased 222.13 hectares (548.80 hectares) of the non-forest government land for the SEZ. The Union ministry of environment and forests (MoEF) accorded final approval for diversion of 1253 hectares (3096 acres) of forest land in favour of the developer in May 2011. Following this, Idco cleared encroachments from about 607 hectares (1500 acres) of the land by June 2011, which is now in very advanced stage of allotment. Idco is now preparing to remove encroachments from the remaining land, which will also be alloted to us shortly”, Posco India’s chairman cum managing director Yong Won Yoon wrote to Odisha industries secretary Parag Gupta.
So far Posco India has deposited Rs 29.67 crore to Idco towards land and land clearance activities and disbursed Rs 9.90 crore as rehabilitation & resettlement (R&R) compensation. The company has also deposited Rs 105.39 crore with the divisional forest officer towards forest clearance compliance.
Yoon stated further in the letter that the environment clearances granted for the Posco’s captive port project and steel plant on May 15, 2007 and July 19, 2007 need to be re-validated in five years. Accordingly, Posco India has requested the MoEF to re-validate the green clearances for both the projects on April 23, 2012 and May 24, 2012 respectively.
The company claimed that the expert appraisal committee- EAC (industry-I) has already recommended re-validation of the environment clearance for the steel plant.
[Source — Business Standard]