Posco project Odisha

Naveen Blames Centre For Posco Impasse

Bhubaneswar: Odisha Chief Minister Naveen Patnaik on Sunday blamed the union government for the Posco project issue.

“There have been several failures like Posco, which is the biggest Foreign Direct Investment (FDI) in the country. This is because of the central government changed its policies of giving mines,” said the Chief Minister at the Odisha Literary Festival here.

He, however, said several other projects, which have set up their projects in the state are doing well.

Notably, South Korean steel major Posco has temporarily halted its steel project in Odisha.

Posco project touted as the country’s largest foreign direct investment (FDI), is mired in controversy for the last nearly 11 years due to stiff local opposition over compensation and environment concerns.

The amended Mines and Mineral (Development and Regulation) Act 2015 put fresh trouble for getting raw material linkage to set up the $ 12 billion steel project in the state.

The company is in no mood to participate in the bidding process, as per the Act, to secure Khanddhara mines as it fears that the Indian companies would form a cartel to discourage the South Korean steel giant.

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