Parliamentary Standing Committee on Coal and Steel has asked the steel ministry to engage Jharkhand government in a dialogue for renewing the Chiria mining lease as the delay in clearances for Chiria and Rowghat mines would affect SAIL’s operations. It said that renewal of Chiria mines lease was crucial for SAIL in view of the entry of private steel players eyeing Chiria.

The panel in a report said “The committee is concerned that further delay in the clearances will affect the sustainable operations of SAIL and IISCO and it is high time for the ministry to enter into serious dialogue with the Jharkhand government for the renewal of Chiria mines lease.”

The report also said “The committee reiterates that the Rowghat iron ore project, a lifeline for the Bhilai Steel Plant, should be taken up on priority basis, lest the most profit making plant of SAIL faces the threat of closure.”

The committee advised that PSUs, considering their social responsibility, should be given precedence over private players in the allotment of iron ore mines.