Hopes on steel plant in Kadapa get fresh lease of life

Kadapa: Hopes on setting up of steel plant in the district revived as the state government announced the date for laying foundation stone for the plant by Chief Minister Y S Jagan Mohan Reddy.

It is planned that the Chief Minister will lay foundation on January 26, 2020 for establishing of AP High Grade Steel Corporation Steel Plant at Sunnapurallapalli of Jammalamadugu mandal in the district.

According to the sources a China based multinational company has come forward to construct steel plant with the partnership of state government and it is proposed to allocate 3,600 acres of land to the firm.

Vast government land is available between Sunnapuralla palle and Peddanduluru villages and it will be easy to provide water from Mylavaram reservoir, to lay rail track and sufficient iron ore is available in the district and also Anantapur.

This is the fourth time state government initiated efforts for constructing steel plant since 2007. Earlier former Chief Minister YS Rajasekhar Reddy laid foundation for Brahmani Steel as joint venture of state government and liquor baron Gali Janardhan Reddy on 10th June 2007.

The government had allotted total 15,000 acres in Ambavaram, Bommepalli, Vemaguntapalle, Gattupalli, Chidimichinthala for steel plant and for air port. The project was aimed to complete in 10 years by investing Rs 20,000 crore. It was aimed that direct and indirect employment would be provided to 1.25 lakh people. Government had issued GO for utilisation of 2tmcft of water from Mylavaram reservoir for the purpose.

However, after death of Rajasekhar Reddy the project was stopped following cancellation of water and land allocations in later periods.. After arrest of Gali Janardhan Reddy in 2018 Enforcement and Directorate had seized the machinery in Brahmani steels.

Later, BJP led NDA government, when it came to power in 2014, proposed to take up the project as per the Bifurcation Act and a survey was conducted by a Delhi based MECON advisory organisation over the feasibility. But the move was dropped in the first week of January 2018.

Two months before 2019 general elections, former chief minister N Chandrababu Naidu laid foundation stone for construction of Rayalaseema Steel plant in A Kambaladinne village of Jammalamadugu mandal by allocating 2,000 acres for the purpose.

Jagan Mohan Reddy, during his visit to Jammalamadugu on July 8, had announced to establish steel plant. Now, the steps are being taken in the direction. Recently, the Collector and MLA have visited the site at the Sunnapurallapalli village recently.