Key Hurdles in ArcelorMittal's Andhra Pradesh Steel Plant Plans

The Expert Appraisal Committee (EAC) under the Ministry of Environment, Forest, and Climate Change (MoEFCC) has delayed its decision on environmental clearance for ArcelorMittal Nippon Steel India Limited's proposed steel plant in Andhra Pradesh. The proposed plant, which aims for a production capacity of 8.2 million tons per annum, is awaiting clarification on environmental guidelines.

The delay stems from a discussion held at an October meeting, where the EAC requested more information from the Controller of Pollution's division concerning the applicability of recent siting criteria to this project. Despite a formal compliance letter from the Andhra Pradesh Pollution Control Board, legal uncertainties persist around the new siting notification.

The proposed steel plant represents an investment of Rs 1.50 lakh crore and is expected to generate significant employment during both its construction and operation phases. The total capital cost for environmental management is estimated at Rs 3,540 crores, with approximately 23,000 jobs created during construction and 7,500 during operation.