Suspension of Posco's mega steel project in Orissa has disappointed steel pipe makers.
A top official from a leading maker told Business Standard, "Posco's steel plant was planned on a very unique design. The foundation of the plant was based on piling steel pipes." The official said this was never done before in India and would require massive quantities of steel pipes.
These piling steel pipes are known as foundation piles and are required when the soil is not fit to support the structure. The pipes are planted deep in the ground to carry the weight of a structure.
An official from another pipe-making company also showed his disappointment. "Yes, Posco did share the designs with us last year and we were eagerly waiting for the project to start. This would be a huge order and require pipe supplies from multiple pipe makers, and no single company would be able to fulfill the quantity needs in the given time-frame," he said requesting his identity be withheld.
An estimate by the pipe makers suggest, at least, 200,000 tonnes of steel pipes would be required to build the plant. However, the wait for this mega order just got longer. Posco had planned to build a 12-million tonne per year steel plant in Orissa. But the National Green Tribunal said while the plant was of 12 mtpa, the environment impact assessment report was for 4 mtpa.
The tribunal said the environment clearance granted on January 31, 2011, to the project shall remain suspended till such review and appraisal is done by the ministry.
