In another U-turn, Centre says RINL disinvestment still on the table

Visakhapatnam: Just a day after Union Minister of state for Steel Faggan Singh Kulaste said the Centre will focus on strengthening the Visakhapatnam Steel Plant (VSP) rather than privatising it, the Centre took a U-turn saying there is no freeze on the disinvestment process of RINL.

In a press release by the Press Information Bureau, the Ministry of steel clarified that there is no freeze on the disinvestment process of RINL.

Clarifying some media reports regarding the hold on the disinvestment process of RINL, the ministry said the disinvestment process of RINL is in progress and efforts are being made by the company and supported by the government to improve the performance of RINL and keep it going concern.

Rashtriya Ispat Nigam Limited (RINL), the corporate entity of the Visakhapatnam Steel Plant (VSP), is the country’s first shore-based integrated steel plant with a workforce of 14,800. It was set up after over 16,000 villagers gave up 24,000 acres of land for the plant that was started with 18,000 employees with a production capacity of four million tonnes. After expansion, the plant touched its capacity of 7.3 million tonnes.

The protests against the privatisation of the Vizag Steel Plant have been going on for two years, with workers and employee unions raising the slogan ‘Visakha Ukku-Andhrula Hakku.’

It may be recalled that on Friday, Andhra Pradesh Bharat Rashtra Samithi (BRS) president Thota Chandrasekhar said the Centre went back on its decision to privatise Visakhapatnam Steel Plant only because of the BRS party and claimed it to be the first victory of the BRS party in Andhra Pradesh.

Earlier, the BRS had demanded immediate withdrawal of privatisation, allotment of mines to the plant, and giving the lands back to the displaced families. They stated that they will fight against privatisation, while the ruling YSRCP and Opposition TDP kept calm. The party under the leadership of KCR has deputed a team of officials to Visakhapatnam to study the relevant issues regarding participating in the expression of interest for the Visakhapatnam Steel Plant.