State will build Bayyaram: KTR
Stating the Centre was keeping the Bayyaram steel plant proposal on the back burner, minister K.T. Rama Rao said the state government was firm on building it under the aegis of either the Singareni Collieries Company Ltd (SCCL) or the TS Mineral Development Corporation (TSMDC).
“The Centre seems to be favouring the private sector to take up the steel plant. We want to build it through public enterprise. We are in the process of finalising a report and will submit it to the Chief Minister,” he said.
The revival of the Sirpur Paper Mills was in progress as the NCLTHyderabad Bench had approved the government’s plan, he said.
Speaking after releasing the TS industry report, Mr Rama Rao said, “I am sure the Sirpur Paper Mills will commence production within two years. The NCLT Hyderabad Bench has okayed JK Paper Mills’ resolution plan of `782 crore. Its revival will create 3,000 direct jobs and 7,000 indirect jobs. A consortium of banks has agreed on the incentives offered by the government.”
The plan has an outlay of `7,892 crore, `371 crore dues will be settled against claims of `674 crore. JK Paper Mills will invest `400 crore to enhance capacity.
Industry secretary Jayesh Ranjan said a revival policy for sick units will be announced soon. “The draft is with me and we are fine-tuning it considering various suggestions from the industry and economists,” he said.
Responding to a question on the recent roadshow by Dholera Industrial City Development in Hyderabad luring state-based units, Mr Ranjan said “We are not worried. Several units from Gujarat and North India are coming to Hyderabad.”
On the issue of incentives, Mr Rama Rao said most dues would be cleared this year. “I think the dues are about `1,400 crore and this will be cleared in a phased manner.”
Elaborating on measures to improve regional air connectivity, Mr Rama Rao said airstrips at Warangal and Kothagudem would be operational soon, while the expansion of the Shamshabad airport was in progress.
On Phase-2 of T-Hub, Mr Rama Rao said, “We have reviewed the objections raised by CAG. I am sure that T-Hub second phase will take off on schedule.” The CAG had observed some irregularities in the selection of consultants which it said lead to cost escalation of `16.7 crore.