No question of privatising Vizag Steel Plant, will revive it: Kumaraswamy

Visakhapatnam: “There is no question of privatisation of the Vizag Steel Plant. We are looking at the possibility of reviving it,” said Union steel minister HD Kumaraswamy, speaking to the media after he visited Rashtriya Ispat Nigam Ltd (RINL), the corporate entity of VSP.

On Thursday, the Union minister held a review meeting with the management of RINL.

On the question of privatisation of the steel plant, Kumaraswamy said, “Who told we are going to privatise the steel plant? Why did I come here? There is no question of privatisation. Before I announce, the PM’s permission is required. I have to speak to him on issues pertaining to RINL. We have been in discussions regarding issues about RINL and we are working on how to revive the plant.”

Kumaraswamy said that they have discussed several issues and will take a decision after speaking to the higher authorities.

Leaders of various unions, who have been fighting against the proposal to privatise the steel plant, met the Union minister and asked him about plans for the merger of RINL-VSP with the Steel Authority of India Limited (SAIL). Addressing employees and trade unions' representatives, the Minister sought to assuage their concerns about potential closure of the plant and promised that its production would continue at 100 per cent capacity.

Visakha Steel Plant is Andhra’s pride: CM Naidu

Earlier, speaking at a public meeting in Anakapalli, chief minister Chandrababu Naidu said, “Visakha Steel Plant is Andhra’s pride and it is our responsibility to protect Visakha Steel Plant.”

In February 2021, the AP Cabinet approved the privatisation of steel maker RINL and this decision caused massive protests in Vizag city. With more than one lakh people relying on it for their livelihoods, the trade unions and workers voiced their opposition against the move multiple times. In 2023, the Union government in Rajya Sabha cited huge losses as the reason for its decision to privatise the plant.