JSW Bengal says Salboni project hinges on govt support

JSW Bengal has said it is ready to start construction activities at Salboni project as soon as the state effects changes in the agreement that allows the captive power plant executed as independent power project.
JSW had signed an agreement with West Bengal for Rs 35,000 crore investment for 10 million tonnes of steel and captive power plant at Salboni.
"We are ready to invest and start execution at power plant as soon as the changes in agreement is carried out that allows the power project also as IPP, coal use in the plant and PPA is signed with the state," JSW Bengal CEO Biswadip Gupta said here today on the sidelines of CII-organised manufacturing conclave.

"We don't know why these things have not been implemented despite Chief Minister Mamata Banerjee, during a roadshow in Mumbai last year, herself advocating for a power plant to begin with at Salboni till the iron-ore issue is sorted out for the steel project," he said.
"In the initial phase, with the developing of three coal mines along with 600 MW thermal power plant the total investment in the state could be upto Rs 5000 crore," Gupta said.
While the state government was averse in signing PPA being power surplus state, neither Jindals are ready to execute the power plant for export to other deficit states.

Banerjee had warned Jindals of taking back the 4,300 acres of land alloted for the steel and captive power project if promoters continued to delay in implementing the project.
In response to the warning, Jindals had said they want the state to assist in getting iron-ore linkages unable to begin steel project and pointed at formalities.