The environment ministry is believed to have deferred clearances to JSW Steel’s Rs 25,000 crore capacity expansion proposal at Bellary plant and sought details of coal linkage and disaster management plans among other things.
“After detailed deliberations the committee (expert appraisal panel of MoEF)…. deferred the project,” sources said.
Sajjan Jindal-led JSW Steel is producing seven million tonnes per annum (mtpa) steel at Bellary facility now and has embarked on brown field expansion to take the capacity to 10 mtpa,which is expected to go on stream by March next year.
JSW Steel also plans to further increase its steel making capacity within the plant to 16 mtpa by 2013. The Environment Ministry’s clearance was sought for expanding capacity from 10mtpa to 16mtpa.
Mecon,which has been roped in by JSW Steel as consultant for the proposed expansion,had made a detailed presentation on the project and outlined environmental protection measures to be taken at a recently-held meeting with the designated panel of the environment ministry,sources said.
However,not satisfied with the information provided by the steel major,the panel has asked detailed housing plan for construction workers,exact source and trace element analysis of raw materials,a copy of coal linkage document and CSR plan for five per cent of the project cost.
The expert committee has also asked for an authenticated map showing the location of the project and Daroji Bear Sanctuary.
JSW’s Bellary plant is just about five kilometers away from the Daroji Sloth Bear Sanctuary,the one of its kind in North Karnataka.
Meanwhile,the Expert Committee has also decided to send a sub-committee to visit Bellary to see the implementation of pollution control and environmental conservation measures,the sources added.
JSW requires about 700 acres for the proposed expansion,which is within the existing plant area. The company’s Bellary plant,including the township,is spread over 7,761 acres and it has reserved 33 per cent greenery within the total plant area.
In April JSW Steel had said that it was mulling to invest around Rs 25,000 crore towards expanding the capacity of its Bellary plant by 6 mtpa to 16 mtpa in three years.
JSW Steel had already invested close to Rs 40,000 crore in the Bellary plant.