CMSR may bag Posco survey work

Idco has invited CMSR for negotiating the rate quoted by the centre in its financial offer

Hyderabad-based Centre for Management & Social Research (CMSR) is likely to bag the job for conducting socio-economic survey for land acquired for Posco's mega steel project proposed near Paradeep.

Odisha Industrial Infrastructure Development Corporation (Idco), the state's land acquisition agency has invited CMSR for negotiating the rate quoted by the centre in its financial offer.

In June this year, Idco had invited expression of interest (EoI) to conduct socio-economic survey for rehabilitation of displaced families affected by the Posco project. Idco has acquired 2,772.05 acres of land to facilitate establishment of an eight million tonne per annum (mtpa) steel mill by Posco India in the first phase. This includes 2,193.52 acres de-reserved forest land and 578.53 acres government land.

The South Korean steel major had proposed to set up a 12 mtpa steel project that needed 4,004 acres. But it had later redesigned the project following prolonged agitation by locals protesting land acquisition and sought 2,700 acres of land in the first phase to start construction of a 8 mpta steel plant.

The land has been acquired under Kujang and Erasama tehsils in Jagatsinghpur district in 10 villages - Dhinkia, Nuagaon, Gobindpur, Jatadhar, Polanga, Bhuyanpal, Noliasahi, Bayanala Kandha, Sandhakuda and Badagapur.

The socio economic survey for rehabilitation of displaced families would be conducted as per the Odisha R&R (rehabilitation & resettlement) policy, 2006 in accordance with the guidelines issued by the revenue & disaster management in ts notification dated April 24, 2008. The survey work is to be completed within 60 days from the date of issue of work order.

In total, 2,752.03 acres of land has been sanctioned for the eight million tonne capacity steel plant proposed by Posco in the first phase. Out of this, 1,703.56 acres has been handed over to the firm.

Idco is sore over non-deposit of Rs 54.22 crore by Posco India as land cost for 2,193.52 acres. This has held up sanction of lease of additional 1,048.52 acres for the project.

The other sticky issue for Posco is non-deposit of Rs 18.79 crore towards differential NPV (net present value) of de-reserved forest land. Due to non-deposit of this amount with the forest department, the order of the National Green Tribunal (NGT) is not being carried out by the department for notification of de-reserved forest land.

The NPV is the amount the user agencies need to deposit for diversion of forest land. It includes the cost of the land along with tangible and intangible benefits of the forest area and is charged at Rs 5.8 lakh to Rs 9.2 lakh per hectare depending on the type and density of the diverted forest land.