The Union government has demanded action from state governments of Chattisgarh, Orissa and Jharkhand regarding the pending steel projects. An explanation for the delay has also been asked.Close to 5 million tonnes of steel is projected to be imported this year and like wheat imports in 2006-07 this is happening for the first time in more then two decades for India.Mega projects like POSCO, Arcelor Mittal, Tatas have failed to take off in the face of widespread local resistance essentially by tribals.R S Pandey, Secretary of Steel GOI said, ''People in that area are accepting that POSCO should be set up, some clearances are pending but we are confident construction will begin by April 2008.'' But this confidence of officials is not backed by ground realities. Villagers literally drove out State officials trying to acquire some 4000 acres of land for the controversial POSCO project.The central government is worried because from being an exporter India has become a net importer of steel for the first time in several decades.Already more than 4 million tonnes of steel have been imported this financial year another million tonnes could follow in the next few months.Most steel projects are being planned in these three states. Apart from POSCO there are more than 15 mega steel projects.Small projects are also stuck, mainly due to fierce protests by tribals against forced land acquisition, often abetted by the State governments. The list includes Arcelor Mittals and Tatas project in Orissa and Jharkhand. Another Tata project in Chattisgarh, Essar in Jharkhand and Jindals in Jharkhand and Chattisgarh.Pandey said, ''We are hopeful that with the new land acquisition act in place this process could be expedited.'' Apart from local resistance, environmental concerns have also held up steel projects. POSCO which is likely to impact more than 21,000 people in Orissa, is yet to get the Supreme Court's nod for acquiring forest land.In neighbouring Chhattisgarh some 17 proposals involving forest land are pending with the centre. An inter-ministerial committee headed by the Union steel secretary will now be meeting shortly to find a way out of this mess. But the real solution lies in better evaluation of human costs and unless this is sorted out any resolution will be impossible.
Source: NDTV.com
11th January, 2008