The Orissa government?s high-level clearance authority (HLCA), headed by chief minister Naveen Patnaik, on Tuesday cleared the Petrochemicals & Petroleum Investment Region (PCPIR) project. The PCPIR, one of the five such projects to be developed in the country, will be located in Paradip region covering two districts?Jagatsinghpur and Kendrapada. Indian Oil Corp will be the anchor tenant for the project.
State chief secretary Ajit Kumar Tripathy, while breifing reporters about the decisions taken at the HLCA meeting, said the state government was committed to contribute Rs 2,700 crore towards the development of 250 sq km of area for the project as well as infrastructure. The Centre will contribute Rs 5008 crore towards infrastructrue development and another Rs 7515 crore would be spent via the public-private-partnership model, he added.
Tripathy said according to the study done by the IL&FS, the project, after becoming fully operational, was estimated to generate an annual turnover of Rs 53,500 crore. Each of value addition and earnings from exports would be to the tune of Rs 43,000 crore.
Total taxes of Rs 42,000 crore will be earned from the region, while the state?s share will be around Rs 32,100 crore. The HLCA also cleared the Rs 2200-crore ship building yard & ship repairing project of Apeejay Shippings Ltd. The project will come up at the Dhamra Port. Tripathy said the company had agreed to complete the project within five years of acquisition of land.
The proposals for capacity enhancement of capacity from various steel and power companies were also cleared at the meeting. These include 2000mw thermal plant of Bhushan Energy Ltd and 1000mw thermal projects of both Monnet Ispat & Energy Ltd and Visa Power Ltd.
The authority also approved Essar Steel?s proposal to set up a 6 mtpa plant and a 8 mtpa iron ore beneficiation plant. Essar had signed an MoU to set up a 4 mtpa plant through the sponge iron route. Now, the revised proposal for 6 mtpa will be through the blast furnace route.
Capacity expansion proposals of SMC Power Generation Ltd, MSP Metaliks and Bhushan Steels were also cleared. The HLCA approved Welspun Power & Steel?s proposal to set up a 5 mtpa iron ore benefication plant and a 3 mtpa pellet plant.