Govt. will set up Kadapa steel plant on its own: Mekapati

He denies reports of signing MoU with U.K.-based Liberty Steel

While acknowledging the fact that the U.K.-based Liberty Steel has not been financially sound, Minister for Industries Mekapati Goutham Reddy has denied reports that the Andhra Pradesh Government has tied up with it for the establishment of the 3 MTPA integrated steel plant in Kadapa district.

Addressing the media after holding a review meeting on industrial promotion on Wednesday, Mr. Goutham Reddy said the government had talks with Liberty Steel, but did not sign any MoU with it as was widely reported.

He asserted that the State government would take up the responsibility of setting up the steel plant on its own, for which various plans were being discussed.

He pointed out that the Kadapa steel plant was connected with people’s sentiment, and said the government was ready to implement ‘Plan B’, without elaborating on it further.

Referring to G.O. RT No.13 issued on Tuesday for the designation of Infrastructure Corporation of AP (INCAP) as the nodal agency to deal with the National Monetisation pipeline in the State, Mr. Goutham Reddy said it should not be construed as agreeing for disinvestment / privatisation of various public sector enterprises. It was only a formality, he observed.

Incentives

The Minister said incentives to be given to industries for the 2014-21 period amounted to roughly ₹4,104 crore, and it was being cleared in a phased manner.

The total outstanding, including the payments that were kept on hold by the previous government, stood at ₹4,923 crore. The number of claims was 43,884.

The government’s coffers were empty, but due priority had been accorded to extending the much-needed support to the industries, he added.

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