The Telegraph
Wednesday , March 9 , 2011
Since 1st March, 1999
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Paradip project will not use irrigated land

Bhubaneswar, March 8: The state government has decided not to acquire irrigated land for the proposed petroleum, chemical and petrochemical investment region (PCPIR) project coming up at Paradip, about 125km from here.

“A decision has been taken at a high-level meeting, chaired by chief secretary Bijay Patnaik, not to acquire irrigated land for the proposed project. We have directed the Industrial Infrastructure Development Corporation as well as the Jagatsinghpur and Kendrapada district administrations to go ahead with the decision,” said an official of the water resources department.

An estimated Rs 2.74 lakh crore will be invested in this project. While the first phase is supposed to be commissioned by 2015, the entire project will be operational by 2030. To carry out the necessary infrastructure developmental work, the state government has set up a special purpose vehicle (SPL).

The proposed project will be set up over an area of 284.16sqkm in Jagatsinghpur and Kendrapara districts. Out of this, an area of 123.01sqkm will be used as processing area. The processing area will accommodate downstream industries. Sources said as many as 155 villages in Kujanga and Erasama blocks of Jagatsingpur and Mahakalpada and Masrhaghai block of Kendrapara district will be directly benefited by the project. The proposed 12-million tonne Posco steel plant is also likely to come up in Erasama block. However, no irrigated land has been acquired by the district administration for the Posco project.

To carry out the work, the Indian Oil Corporation Ltd (IOCL) and the Industrial Development Corporation (IDCO) have been selected as anchor tenant and nodal agency, respectively. The land has been identified on the basis of hinterland and proximity to water resources and land availability.

However, the state government is committed to provide the best compensation package to the land losers. Similarly, all the industrial houses have been asked to give the best compensation to them,” said industries minister Raghunath Mohanty. Sources in the IDCO said already land spread over 42.68sqkm had been acquired for the project.

In the proposed PCPIR, the IOCL will set up a refinery-cum-petrochemical complex with an investment of Rs 29,777 crore. While the state government will provide necessary infrastructure such as, land, power, water, sewerage, ancillary roads, the Centre will ensure availability of external infrastructure linkages such as, rail, road, ports, airports and telecom, in time-bound manner through public private partnership mode.

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