PTI reported that after a lull for several days, Orissa government said that POSCO India could easily start its work over 2,000 acres so far acquired to set up its proposed mega steel plant near Paradip.

Mr BK Patnaik chief secretary of Orissa said that "The state government has so far acquired over 2000 acre of land for POSCO steel plant. The company could easily start its work over the acquired land."

Stating that the South Korean steel major wanted about 4,000 acre of land, he pointed out that 2,000 acres was not a small patch. He said that "POSCO India had proposed to set up 12 million tonnes per annum steel facility in three different modules. Now the acquired land can accommodate the steel plant."

He claimed that however, the state government was not sitting idle, adding efforts were on to acquire land for construction of roads to the proposed plant site and other associated requirement like rehabilitation colony.

Rejecting allegation that slow land acquisition delayed implementation of the country's biggest FDI, Mr Patnaik said that the company got final forest clearance from the union government barely some months ago.

The state government acquired over 2,000 acres since May 2011 after the project got final forest clearance from environment and forest ministry, an official said adding it is not proper to blame the state government for the delay.

Replying to a question on the need for a new MoU with POSCO India as the old one lapsed in June 2010, Mr Patnaik said that "The law department is examining different angles before revising the document."

(Sourced from PTI)