Lok Sabha Question No. 1171 (UNSTARRED), answered on 2016-05-02
Subject: Steel Plants
Ministry: STEEL
Asked by: SAKSHI SWAMI MAHARAJ

## LOK SABHA

## STEEL PLANTS

1171.  DR. SWAMI SAKSHIJI MAHARAJ:

Will the Minister of STEEL be pleased to state:

(a) the number of the public and private sector steel plants being run in various parts of the country including Uttar Pradesh at present, State/UT-wise;

(b) the estimated number of new steel plants proposed to be set up in the next three years, State/UT-wise;

(c) the  details  of  the  physical  and  financial  targets  set  and  achieved  by  these plants during each of the last three years and current year; and

(d) the steps taken by the Government to encourage investment and production in Steel Sector?

## ANSWER

## THE MINISTER OF STATE IN THE MINISTRY OF (SHRI VISHNU DEO SAI)

## STEEL AND MINES

(a) The number of the public and private sector steel plants being run in various parts of the country at present State/UT-wise, including Uttar Pradesh are given in the Annexure .

(b)&(c): Steel is a de-regulated sector and the role of the Government is limited to that of a facilitator.  The decisions to construct new steel plants are essentially taken by the respective companies, based on commercial considerations.  However, a new integrated steel  plant  is being set  up  by  NMDC Limited  at  Nagarnar,  Chhattisgarh. The Government does not set physical and financial targets for the private sector. However, performance evaluation of public sector steel companies is done based on MOU targets.

(d) The Government has taken the following steps to encourage investment and production in Steel Sector:-

- (i)         In  March,  2015,  government  notified the  Coal  Mines  (Special      Provisions) Amendment  Act,  2015  to  streamline  coal  block  allocations  to  ensure  raw material security to various sectors including steel.
- (ii) In  March, 2015, Government also notified Mines and Minerals (Development and Regulation) Amendment Act, 2015 to streamline grant of Mining Leases in order to maintain sufficient availability of raw materials for the various sectors including steel sector.
- (iii) For ensuring raw material availability, the Government had amended MMDR Act,  2015  &  rules  there  under  which  provides the  provision  for  allocation  of iron ore to 'specified end use' by the means of competitive bidding through eauction.
- (iv) For reducing the stress in the steel sector, RBI has extended 5:25 scheme in July,  2015,  whereby  longer  amortization  period  for  loans  to  projects  in infrastructure  and  core  industries  sectors,  say  25  years,  based  on  the economic life or  concession period of the project, with periodic  re-financing, say every 5 years, is allowed.
- (v) Government has issued   Steel & Steel Products (Quality Control) Orders in March,  2012,  and  in  December,  2015  to  ensure  that  only  quality  steel  is produced/imported in India.

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## Annexure to Lok Sabha Unstarred Question No.1171 regarding Steel Plants.

| PUBLIC SECTOR                 | PUBLIC SECTOR   |
|-------------------------------|-----------------|
| State                         | No. of Plants   |
| Chhattisgarh                  | 1               |
| West Bengal                   | 3               |
| Odisha                        | 1               |
| Jharkhand                     | 1               |
| Tamil Nadu                    | 1               |
| Karnataka                     | 1               |
| Andhra Pradesh                | 1               |
| A) Total Public Sector        | 9               |
| PRIVATE SECTOR                | PRIVATE SECTOR  |
| State                         | Units           |
| Arunachal Pradesh             | 1               |
| Assam                         | 12              |
| Bihar                         | 42              |
| Jharkhand                     | 132             |
| Meghalaya                     | 12              |
| Odisha                        | 101             |
| Tripura                       | 1               |
| West Bengal                   | 85              |
| Chhattisgarh                  | 68              |
| Dadra And Nagar Haveli        | 27              |
| Daman And Diu                 | 12              |
| Goa                           | 20              |
| Gujarat                       | 60              |
| Madhya Pradesh                | 15              |
| Maharashtra                   | 74              |
| Chandigarh                    | 3               |
| Delhi                         | 2               |
| Haryana                       | 15              |
| Himachal Pradesh              | 20              |
| Jammu And Kashmir             | 8               |
| Punjab                        | 129             |
| Rajasthan                     | 64              |
| Uttar Pradesh                 | 101             |
| Uttarakhand                   | 20              |
| Andhra Pradesh                | 35              |
| Karnataka                     | 27              |
| Kerala                        | 39              |
| Puducherry                    | 18              |
| Tamil Nadu                    | 111             |
| Telangana                     | 46              |
| All Total (A+B)               |                 |
| Source: Joint Plant Committee | 1309            |

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