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If one goes, others will come: Piyush Goyal on Posco exit

Goyal said the Centre is working with state govts to make things simpler for entry of new companies

Press Trust of India  |  Mumbai 

If one goes, others will come: Piyush Goyal on Posco exit

Undeterred by India’s offer to return the land provided for its steel project in Odisha, Union Power Minister Piyush Goyal on Sunday said if one company pulls out, others will come in.

“There are more and more opportunities in and if one company chooses to pull out, others will come in,” Goyal said on the sidelines of the International Diamond Conference Mines to Market. On the delay in land and other policy issues as regards the Korean company, the coal and power minister said, “It had happened during the earlier regime and now things are becoming more transparent.”

Odisha’s Industries Minister Debi Prasad Mishra had said that in a letter requested the state to take back its 2,700 acres provided to it near for setting up a 12-mtpa steel plant at an investment of Rs 52,000 crore.

As the steel major had not made any communication with the about its plan, the letter is considered as the first move for scrapping of the project.

Posco-had signed an agreement with the state in June 21, 2005, for setting up its mega steel facility near

Meanwhile, Goyal said the is working with state governments and trying to make things simpler for new companies to come in. “For the mining sector, to bring in transparency, we have separated exploration and exploitation of the mines by amending the Mining Act. Now things will become much easier,” he said.

Addressing the diamond exporters, he said the is also taking steps to issue separate exploration contracts, which will be separate from exploiting of the mines.

“India plans to change rules of exploration of mines. We plan to have separate contracts to explore the mines. We will pay the companies to explore and we will take the risk. We will also incentivise them if the exploration turns valuable,” Goyal said.

As for the exploitation of the reserves found, it will be done through the auction, the minister said.

He also urged Indian companies to participate in the exploration as well as the exploitation process.

“One should not only depend only on large international companies in the mining sector. The time has come to take a leap and not follow the world,” Goyal said.

“We are going to explore the minerals and invite bids for the process of exploiting the resources found,” he said.

First Published: Mon, March 20 2017. 00:13 IST