Rourkela | Feb 01, 2015: Union Steel & Mines minister Narendra Singh Tomar, on a two-day visit to Odisha’s Steel City, today said the recently promulgated mining ordinance would pave the way for reopening of closed mines and solve the raw material problem that has plagued the steel industry for quite some time now.

“Instead of first cum first serve basis, the mining allocation now would be done in e-auction basis, which will obviously enhance transparency and make it less cumbersome,” Tomar said addressing media persons here today.

The term of the mining lease after auction has been enhanced from 20 years to 50 years now at the end of which the same mines would be allocated on fresh auction basis, instead of being renewed as is the current practice, he pointed out.

“Total steel production capacity of our country has been targeted to go up from the present capacity of 100 million ton to as high as 300 million ton in the country. Total production capacity of Steel Authority of India Ltd. (SAIL), which has taken a leap from 13 million ton to 23 million ton after the recent expansion, is set to jump to as high as 50 million ton by 2025,” the Unio9n minister said.

Turning his attention to Rourkela Steel Plant (RSP), Tomar informed that the modernization work of the plant is nearing completion. “I, along with SAIL Chairman C S Verma, took stock of the modernization work in RSP here today. I am happy to inform you that the project is almost on the completion stage as the remaining works would be completed within the next one month,” he said.

“We have invited Prime Minister Narendra Modi for a day here to officially inaugurate the modernization units next month and I hope Prime Minister will accept our invitation,” Tomar said.

(Source: http://odishasuntimes.com/)