After reviewing the progress of 14 mega projects underway in Orissa, the State Government has admitted that land acquisition was the major bottleneck for the establishment of these projects.

“Acquiring land is the biggest problem before these mega projects. Most of the companies have started acquiring land. We are trying to expedite the acquisition process,” Steel and Mines Minister Raghunath Mohanty said after the review meeting. These 14 companies have a combined land requirement of 45,607 acres of which 14,131.9 acres, less than one-third, have been acquired.

However, the State Government pulled up ArcelorMittal for ‘not making any investment’ so far in its proposed 12 million tonnes per annum greenfield steel plant at Keonjhar. It also openly questioned Mittal’s ‘actual intentions’ in delaying the project works.

“Media report says you are going slow on the Orissa project and you have not denied it,” Mohanty told ArcelorMittal’s project chief in India Sanak Mishra, who said ArcelorMittal was committed to its Orissa project.

Denying reports that ArcelorMittal had not made any investment, Mishra claimed that the firm had already deposited Rs 25 crore with the government for land acquisition related activities and held gram sabhas in eight of the 15 villages which will be affected in Keonjar.
The Minister had also a piece of advice for Posco. He asked Posco to focus on welfare of people who would be displaced by the proposed plant.

“Speak to the people who will be directly affected by the project and do not entertain those in adjoining areas,” Mohanty said.
He said that the company must set up an industrial training institute at the proposed site of the project near Paradip to impart training to local youths. The Government also warned the company that talks with ‘outsiders’ could further delay the project which was already running behind schedule.

Government suggested to Posco that it could start work outside the ‘disturbed patch’ in Dhinkia village, considered as epicenter of the anti-Posco movement.

“How can the affected people trust you if you do not take up any public welfare activities,” Mohanty asked Posco-India representatives YK Kim and Saroj Mohapatra who attended the review meeting.
Posco has so far acquired only 506.74 acres of land out of the required 6,000 acres. Tata Steel, which needs 3,500 acres, has acquired 3,040 acres, while Essar Steel has acquired only 135 acres of the 2,500 acres allotted to it. Arcelor Mittal, which has proposed to set up a 12-million tonnes per annum steel plant in the State, is yet to start acquiring land.

“We have started reviewing these projects. We are trying to remove the bottlenecks in the implementation. We will periodically review the progress,” Mohanty said.

He, however, added that companies like Jindal Steel and Power, Jindal India Thermal Power, Bhushan Power and Steel have made significant progress in land acquisition and some companies have gone to production phase.