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Nation Current Affairs 09 Jul 2019 Jagan Mohan Reddy&rs ...

Jagan Mohan Reddy’s steel plant promise sparks talk on its origins

Published Jul 9, 2019, 3:46 am IST
Updated Jul 9, 2019, 3:46 am IST
The Chief Minister comments are regarding Brahmani Steel Plant only.
A file photo of former chief minister Y.S. Rajasekhar Reddy at Brahmani Steel plant pylon.
 A file photo of former chief minister Y.S. Rajasekhar Reddy at Brahmani Steel plant pylon.

KADAPA: Chief Minister Y.S. Jagan Mohan Reddy has assured people in Kadapa to lay foundation for the Steel Plant. He insisted that the Plant will be at Jammalamadugu area, but didn’t disclose whether it is Brahmani or other. He alleged that the previous government’s decision, was to set up a Steel Plant at Kambaladinne area, which is also in Jammalamadugu Asse-mbly constituency.

He said: “We are looking for a Steel Plant nearer to us. It has become a dream for all. It was politicised. They had made dramas. When it completes, we will get a good name. No works have been progressing in the Plant and it was completely stopped. Our government will construct a Steel Plant.We will lay foundation for the Steel Plant on December 26 and it would be completed within three years. The Steel Plant will provide employment to 20,000 people,” he said.


The Chief Minister comments are regarding Brahmani Steel Plant only. But, he has not mentioned the name of the Plant. But it indirectly indicates the same Plant. The public attended the meeting and made high pitch slogans supporting to the Steel Plant’s announcement made by Mr Reddy.

When we go to the previous history of Brahmani Steel Plant, the mining baron of Bellary in Karnataka Gali Janardan Reddy had showed his interest to set up an integrated steel plant at Kadapa district. It is a captive plant based on Obulapuram iron ore mines.

The government had also expressed interest in his proposal and allotted 10,607 acres of land in Ambavaram Village, near Jammalamadugu, and permitted to take 1 TMC water from Mylavaram Reservoir. The lands are in Vemaguntapalli, Kothag-untapalli, P Bommepalli and Tangedupalli villages, all in Jammalamadugu mandal of Kadapa district.

The State Government and Gali janardan Reddy signed the Memorandum of Understanding (MOU). In 2007, this Plant was inaugurated in grandeur and it was named as Brahmani Steels Limited (BIL), with an annual production capacity of 1.7 million tonnes per annum, to be expanded to 10 million tonnes per annum, within 10 years of tenure.

The works for this plant was begun form 2007 and continued in speed. The government allotted lands to Brahmani Steels at Rs 18,500 per acre.

After the demise of former Chief Minister Dr. Y.S. Rajasekhar Reddy, mining don Janardana Reddy was arrested for mining cases and the Plant works were stopped. Almost 50 per cent of the works were completed, and then, the works were stopped. The government, then headed by Nallari Kiran Kumar Reddy cancelled the MoU with BIL and cancelled the allotment of lands. Now, new Chief Minister Jagan Mohan Reddy has given a new hope for this industry among  the people in Kadapa.

Location: India, Andhra Pradesh