Bokaro: The Steel Authority of India Ltd is planning to set up two new businesses in collaboration with other partners at its Bokaro Steel Plant (BSP).

The SAIL board has cleared the proposal to set up a cement plant of an initial capacity of one million tonne a year. The capacity will later be doubled. The second joint venture proposal on power would soon be placed before the SAIL board by BSP. The plant has suggested setting up two 250mw-power plants. The estimated cost of these two projects together would be Rs2,550 crore.

The project would be carried out by Bokaro Power Supply Co Ltd (BPSCL), an existing 50:50 joint venture between Damodar Vallley Corporation (DVC) and SAIL.

According to company officials, the cement plant is planned to take care of the huge volumes of slag (a by-product in the steel making process) generated everyday. Disposal of slag has become a major problem for all big steel plants.

The cost of the cement plant, which would bring clinker from another source, is estimated to be Rs320 crore. The cost of the proposed power plant would be Rs2,200 crore. Mecon has already prepared a feasibility report for this power plant, while BSP has also identified 750 acres of land for this project.