ArcelorMittal to Set Up A Solar Farm on Land Allotted to it for a Steel Plant In Karnataka: Report

“In view of excess capacity of steel world-wide and uncertainty in iron ore availability locally, the company is also exploring the possibility of utilising the land in Karnataka for the establishment of a solar farm for generating solar energy,”

World’s largest steelmaker ArcelorMittal may set up a solar farm on land alloted to it for a steel plant in Ballari district of Karnataka, in view of excess global steel capacity and delays in securing raw materials.

The company had entered into a pact with Karnataka government for setting up a 6 million tonnes (MT) steel plant with a captive 7,50 MW power plant at an estimated investment of USD 6.5 billion. “In view of excess capacity of steel world-wide and uncertainty in iron ore availability locally, the company is also exploring the possibility of utilising the land in Karnataka for the establishment of a solar farm for generating solar energy,” the global steel giant has said in its latest report.

ArcelorMittal India has received possession certificates for 2,659 acres of private land following the acquisition of 1,827 acres and 832 acres in December 2011 and October 2012, respectively. A balance of 136.33 acres owned by the Karnataka government is being processed for allocation, it said. “In this regard, the company has sought the state government’s permission to set up a solar farm of up to 600 MW.

The government is considering ArcelorMittal’s proposal and the company is hopeful of receiving a favourable response to the proposal,” it said. NRI billionaire Lakshmi Mittal-led company in June 2010 had signed an MoU with the Karnataka government to set up a 6 MTPA greenfield project at Kuduthini in Ballari district.

After failing for over a decade to set up plants at Odisha and Jharkhand, ArcelorMittal had signed the pact with Karnataka government for the plant but it is yet to take off.

Source: PTI