Team News Riveting
Raipur, December 28
Chhattisgarh government would bid for the Nagarnar steel plant (NSP) in Bastar if the Government of India went ahead with its strategic disinvestment plan.
In October this year, the Cabinet Committee on Economic Affairs (CCEA) chaired by Prime Minister Narendra Modi has given its in-principle approval to the demerger of Nagarnar Steel Plant (NSP) from NMDC and strategic disinvestment of the demerged company (NSP) by selling entire Government of India stake in it to a strategic buyer.
The CCEA has taken note that the process of demerger and disinvestment will be initiated in parallel and disinvestment of the demerged company (NSP) is expected to be completed by September 2021. Minimum floor price for the facility is likely to be Rs 23,140 crore.
NSP is a 3 million tonne per annum (mtpa) integrated steel plant being set up by NMDC in Nagarnar of Bastar district over an area of 1,980 acres. As on date, NMDC has invested Rs 17,186 crore on the project, out of which Rs 16,662 crore is from NMDC’s own funds and Rs 524 crore has been raised from the bond market.
The Congress-led Chhattisgarh government today moved an official resolution in the state legislative assembly demanding to repeal the proposed disinvestment of NSP. On opposition’s suggestion, it included that the state government would bid and purchase the plant if the Centre went ahead with the disinvestment plan. The resolution was passed unanimously.
“The state government urges the Centre not to privatise the plant and if it is done the state government will buy it,” Chief Minister Bhupesh Baghel said during discussion. He alleged that the BJP-led government at the Centre was disinvesting the plant had was to be commissioned.
The opposition BJP members suggested that the state government should come forward to purchase the plant and follow suit of the then Chief Minister Ajit Jogi when BALCO was put for strategic disinvestment in 2001.
The Leader of Opposition, Dharamlal Kaushik said if the state government officially include in the resolution to purchase NSP, the BJP would support and take up the issue with the Centre.
Baghel readily accepted it.
