Government working on revival of closed fertiliser units

07 Dec 2007

1

Mumbai: The government has initiated the process of examining the feasibility of reviving the closed fertiliser units of Hindustan Fertiliser Corporation (HFC) and the Fertiliser Corporation of India (FCI), including the Durgapur, Talcher, Barauni and Ramagundam units, subject to availability of gas.

Rashtriya Chemicals & Fertilisers (RCF) has shown interest in the Durgapur and Tacher units; National Fertilisers Ltd. (NFL) has shown interest in Barauni and Ramagundam units; and Krishak Bharati Cooperative Ltd. (KRIBHCO) has shown interest in the Gorakhpur unit, minister of state for chemicals and fertilisers B K Handique informed the Rajya Sabha.

The revival process of the closed units is in the stage of examination and preparation of techno-ecnomic feasibility reports and hence, it is not feasible to indicate a definite time schedule for finalisation of tender or for commencement of construction work, the minister said.
 
He said the government had recently granted authorisation to GAIL for laying Jagdishpur-Haldia pipeline. The pipeline is expected to be commissioned within 36 months from the date of the start of the project.

The fertiliser companies wanting to revive the closed units are already in discussion with GAIL for firm commitment/agreement for connectivity and gas availability. However, no agreement has yet been reached, the minister said.

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