Odisha government withdraw land acquisition plan for Sterlite's Steel project

The Odisha government has approved a proposal for withdrawal of land acquisition process for Sterlite Iron and Steel Company, a Vedanta group firm, which proposed to set up of a 5 million tonne steel plant in Keonjhar district.

The decision of not to go ahead with the land acquisition process for the project was taken in October this year, following state water department’s objection to the sale of land.

The water resource department said, since more than 90 per cent of the 1,872 acre area required for the project came under the category of irrigated farm land, it should not be given to an industrial unit.

Sterlite Iron and Steel Company had signed a MoU with the state government for the project in 2004. The proposed five million tonne per annum steel plant was to be set up at a cost of Rs 12,500 crore. However, the project hardly showed any sign of progress.

Source: Business Standard