BHUBANESWAR: The State Government on Saturday maintained that Posco, the South Korean steel major, can start work at the proposed plant site near Paradip before signing of the fresh memorandum of understanding (MoU).It observed that there is no bar in taking up construction activities at the site before renewal of the MoU. Chief Secretary Bijay Kumar Patnaik told mediapersons on Saturday that work for the steel project and processing of the MoU can go on simultaneously.There are several instances when companies were allowed to start work at the sites much before signing of the MoU, he said, adding that the State Government has so far acquired over 2,000 acres for the purpose. He said the State Government will talk to Posco-India over the matter relating to beginning of the work at the proposed plant site areas under Ersama block in Jagatsinghpur district.However, the company has to agree to begin the work on the 12 mtpa mega steel plant before entering into any formal MoU, an official at the Steel and Mines department said.Patnaik said Posco-India had already submitted its views on the controversial export clause in the previous MoU.At the time of according the final forest clearance to the project, the Ministry of Environment and Forests (MoEF) had advised the State Government to delete the swapping clause from the revised MoU.“Posco-India’s views on the export clause are being examined by the Law, Steel and Mines departments. The provisions of the MMDR need to be in accordance with the content of the revised MoU,” he said.Posco, in its previous MoU signed in 2005, had wanted about 4,000 acres to set up the plant at an investment of Rs 52,000 crore. However, Abhay Sahu, chairman of Posco Pratirodh Sangram Samiti (PPSS), said that with resistance to the project still strong, work cannot start. Why work on project boundary was started and stopped forthwith, he asked and said that the machineries have also been shifted elsewhere.
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