Daily Pioneer reported that all is not well with the flagship entity of Steel Authority of India Bhilai Steel Plant which apart from witnessing a significant fall in production of hot metal, crude as well as saleable steel during 2011-12, has not been able to extract essential iron ore from its Rowghat mines due to threat from naxals inhabiting the region, even as it battles hard to tackle labour related issues.

These pressing circumstances have forced Steel Minister Beni Prasad Verma to undertake a two-day visit to the plant, starting June 11, and during his stay in Bhilai (his first to the plant), a serious review of the overall problems plaguing the 50 year old unit is being expected, according to sources in the know.

BSP’s inability to exploit the iron-ore reserves from its Rowghat mines is an issue which is of utmost concern to the Steel Ministry. Though BSP was allotted the mining lease for Rowghat in October 2009 after getting due forestry clearance from the Environment Ministry, official sources told The Pioneer that not a single tree has been cut in the area where the mine is situated due to threats from naxals.

A source close to the development told this correspondent that naxals inhabiting the area surrounding the mine have threatened to kill anybody who dares to cut even a single tree for accessing the mine. Due to this, the mine is yet to be exploited and last week, Steel Ministry officials along with BSP representatives are said to have discussed the matter with the Home Ministry, seeking deployment of CRPF personnel at the mine.

Apparently the BSP management is not happy with the deployment of CISF personnel there and to their request of seeking CRPF personnels’ deployment, the Home Ministry is said to have okayed it. The responsibility of getting the area cleared is with the Chhattisgarh Government.

With the naxals having blocked BSP’s access to Rowghat mine, the development has seriously hampered the plant’s production, especially during 2011-12. According to information available with this correspondent, production of hot metal, crude steel as well as saleable steel during FY12 fell by 10 per cent, 8 per cent and 6 per cent respectively compared to 2010-11.

The plant, which has an annual capacity of 5.8 million tonnes, aims to achieve 7.5 million tonnes during the current fiscal.

Source - Daily Pioneer

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