SEFI Representatives Meet Union Minister Of Steel HD Kumaraswamy

Office bearers of Steel Executives Federation of India (SEFI), met Union Minister of Steel, HD Kumaraswamy and demanded immediate release of payment of 11-month pending perks of officers. Mainly in lieu of privatization of public sector steel plants, restructuring, strategic partnership/merger, immediate reinstatement of 11 months pending perks arrears (from 26.11.2008 to 04.10.2009) of SAIL officers, suspension of thirty nine officers. During this, SEFI Vice-President, Narendra Singh and SEFI Treasurer S. Loknath were present.

SEFI informed the Union Steel Minister that under the new Steel Policy 2030 of the Government of India, SAIL has been directed to expand capacity by the Ministry of Steel, under which SAIL has been given a target of acquiring a capacity of 35 MT by the year 2030. In this expansion plan, Rs. One lakh crore is to be invested by SAIL. The expansion target can be achieved soon. While this step will help in rapidly increasing the production capacity of the cell, these national assets can be saved from disinvestment and their full potential can be utilized. Along with this, the interests of the workers working in these units can also be protected.

SEFI informed the Union Steel Minister that Nagarnar Steel Plant is a state-of-the-art steel plant with a capacity of 3 MT at a cost of 24000 crores which is a complete unit of crude iron ore mines. Only 200 officials and 1000 employees are available to run it which is insufficient. Mecon is currently responsible for the operation of this plant, Mecon has no prior experience in operating a steel plant. Under these conditions, the profitability of this plant is also greatly affected. Similarly Rashtriya Ispat Nigam Limited is a unit full of skilled technical experts with a capacity of 7 MT which is currently struggling with shortage and high prices of raw iron ore.

Since its inception, SEFI, the apex body of executives of public sector steel undertakings, has been emphasizing restructuring and strategic adjustment of public sector undertakings instead of indiscriminate privatization and divestment. By strategic merger of these units, where raw material will be available to one unit, the other unit will be facilitated in getting full human resources with technical capability. In this way both the Steel PSU will start benefiting by complementing each other which will provide financial support to the Government of India.

The letter handed over to the Minister, on which detailed discussions took place, is given below for the benefit of the viewers of www.indianpsu.com –