Paradip, Dec. 11: Ahead of the commissioning of its Paradip oil refinery project, Indian Oil Corporation Limited (IOCL) has reached a settlement with the families displaced by the project work on rehabilitation.

The affected people had threatened to paralyse the functioning of the refinery work, which is scheduled to go for full-fledged commissioning the end of January 2016.

"We have called off our agitation after a fruitful discussion with the officials," president of the displaced families' association Jadumani Pradhan said today.

Deputy general manager (human resources) of the oil refinery project S. Pattnaik said that the company was committed to the issue of rehabilitation following the policy framed by the government and approved by the Rehabilitation Advisory Committee.

"The company officials held talks with us on Thursday. The oil company has committed us to provide employment to one member from each of the displaced families. Besides, they have pledged to construct dwelling units at the resettlement colony at Dhinkia. We have decided not to go for an agitation. In the event of the company failing to keep its commitment, we will stage a fast-unto-death protest from December 26," said Pradhan.

"The company has decided to lay emphasis on generating employment avenues for the displaced families, apart from people living in the peripheral areas of the project. While engaging people in the project, the company is being strictly guided by the policy formulated by the government and the Rehabilitation Advisory Committee," said Pattnaik.

"The company has taken up the matter of recruiting members from displaced families with higher authorities. The company wants to employ at least one person from every displaced family befitting his/her qualification and experience," said an official.

"Most of the displaced families have already been covered under the job security scheme. We hope that the issue of employment would completely be resolved shortly," added the official.

Regarding construction of dwelling units at the Dhinkia resettlement colony, the officials said that the matter was being considered.

Of the 143 displaced families, 65 families have already been handed over 10 decimal homestead plots each.

The remaining 78 families opted for financial grants instead of housing plots at the colony. Accordingly, they were given monetary grants, said an official.

As of now, 98.5% construction of the refinery project, worth Rs 34,555 crore, has been completed.

Trial runs of various key components of the refinery and various safety tests are going on in full swing, said the official.