The issue of privatization of the Visakhapatnam Steel Plant, which has turned into a headache for the state government, is taking turns. The Narendra Modi-led government, which had earlier declared its policy of 100 percent privatization of the Plan, now seems to be locked up in a dilemma after the formation of TDP-led coalition government in the state and the TDP turned a crucial partner of the central government.
Recently, voluntary retirement of employees has also been implemented. In the first phase, 1,140 employees were granted VRS permission. But, Chief Minister Chandrababu Naidu is insisting the Center take effective steps to strengthen the Visakhapatnam Steel Plant. To this end, the Center and the State governments are taking steps to formulate a comprehensive action plan.
As part of this, Union Minister of State for Steel Srinivasa Varma and higher officials of the department met with Chief Minister Chandrababu on Monday. They discussed the announcement of the package for the steel industry, subsequent developments, plant progress, and blast furnaces.
The Union Minister thanked the Chief Minister on this occasion for providing security to the plant with SPF. CM Chandrababu said that the people of AP have an emotional attachment to the Visakhapatnam Steel Plant. He assured the Central team that the State government will provide full support for this to bring Visakhapatnam Steel to its former glory.
However, Chandrababu suggested that the operating cost of the plant should be reduced. On this occasion, Chandrababu inquired about the steps the Center was taking regarding the strengthening of Visakhapatnam Steel. They explained to Chandrababu the steps taken to protect Visakhapatnam Steel.
On this occasion, Srinivasa Varma informed Chandrababu that there is a possibility of announcing a special financial package to revive the Visakhapatnam Steel Plant. It is said that he has made it clear that he does not have any proposals related to privatization so far. He stated that there are no such thoughts at present.
Chandrababu assured that there is a need to further expand the Visakhapatnam Steel Plant and that they are ready to provide necessary support on behalf of the state government to strengthen it financially.
Steel Secretary Sandeep Poundrik, Joint Secretary Abhijit Narendra, NMDC MD Amitava Mukherjee, Visakhapatnam Steel In-Charge CMD Ajit Kumar Saxena, MECON CMD SK Verma, and MSTC CMD Manobendra Ghoshal participated in this meeting.