Center thinks twice about VSP sales

Said that it will work hard to strengthen the independent operation of the factory

Hyderabad / Visakhapatnam: The Center on Thursday started the delay in its announced strategic divestment plan for the steel plant following Chief Minister K Chandrashekhar Rao’s decision to submit a letter of intent for the Rashtriya Ispat Nigam Limited – Visakhapatnam steel plant.

Industry Minister KT Rama Rao called it a diversionary tactic, and Federal Minister of State for Steel Faggan Singh Kulaste said that as of now, the partial coalition government has not attempted to privatize VSP, instead efforts will be aimed at addressing issues related to factory mining. problems and strengthen the independent operation of the plant.

“There is no hope or attempt to continue to divest RINL as it is today. We have better plans for the future of RINL. Whatever the problem related to mining, we are working on it to strengthen RINL and let it run on its own,” MoS Week told the media during the Rozgar Mela in Visakhapatnam on Thursday morning.

However, later in the day, in an interaction with VSP union leaders, Singh made an abrupt shift by saying that the decision on RINL’s strategic divestment was not within his purview as it was a Cabinet decision, thus sparking confusion over VSP . The actual plan at the center actually reinforces Ramarao’s theory of diversionary tactics.

However, Faggan Singh announced in the morning that the Center has put aside the Cabinet Economic Affairs Committee’s decision “in principle” on 27 January 2021 to approve the government’s 100% divestment of the Government of India’s stake in RINL through strategic divestment. , Telangana chief minister scored a major victory after announcing that VSP would not be allowed to be privatized and moved to submit a letter of intent to RINL.

Rama Rao, who attributed the center’s re-examination of the issue to pressure from BRS, said that if the center was committed to strengthening steel mills, it should ensure captive iron ore supply to VSP.

In a statement here, he said there was a new drama at the center after the BRS revealed the conspiracy behind awarding the Bailadila mining contract to the Adani group.

Using a one-shot-two-birds strategy, the center refused to supply iron ore to VSP and by awarding the Bailadila mining contract to Adani, it got rid of the promise of the AP Reorganization Act to build a steel mill in Bayyaram. He said the BRS would continue to oppose the BJP plot.

“The BRS will continue to exert pressure until the central government permanently shelve the VSP privatization plan and set up THE Bayyaram steel plant,” Rama Rao said, reminding that the whole incident proved that people, regardless of their status, must be at the heart of the Chief Minister’s resolve. .

Meanwhile, in Visakhapatnam, VSP union leaders say the BJP cannot digest the fact that continuing to shelve RINL’s privatization has been a major win for Chief Minister K Chandrashekhar Rao and the BRS. They were appalled that the center was more keen to take on the BRS than to save the factory which only came to fruition after the sacrifice of 32 people.

Senior union leader Padi Trinatha Rao said Faggan Singh’s claim that the center wanted to strengthen RINL only meant steps were being taken to attract strong bids from private players.