Visakhapatnam steel plant’s future is dependent on increasing production level: Centre

Addressing the employees, the Joint Secretaries noted that the plant had operated with only one blast furnace until September last year, producing about 30 per cent of its capacity.
Steel Ministry joint secretaries Abhijit Narendra and Daya Nidhan Pandey and RINL CMD (Additional Charge) Ajit Kumar Saxena addressing the plant employees at the Visakhapatnam Steel Plant on Saturday.
Steel Ministry joint secretaries Abhijit Narendra and Daya Nidhan Pandey and RINL CMD (Additional Charge) Ajit Kumar Saxena addressing the plant employees at the Visakhapatnam Steel Plant on Saturday.Photo | Express
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VISAKHAPATNAM: Amidst the ongoing tensions at the Visakhapatnam Steel Plant (VSP), senior officials from the Ministry of Steel on Saturday made it clear that increasing production remains critical for the plant’s sustainability.

Joint secretaries Abhijit Narendra and Daya Nidhan Pandey, who visited RINL-Visakhapatnam Steel Plant, held three separate interactions with employees at the Learning & Development Centre Auditorium. RINL CMD (Additional Charge) Ajit Kumar Saxena joined them during the discussions.

Close to 1,000 employees attended the sessions, where a detailed presentation was made on the plant’s current operational and financial condition.

Addressing the employees, the Joint Secretaries noted that the plant had operated with only one blast furnace until September last year, producing about 30 per cent of its capacity. “With the financial assistance extended by the Central Government, two blast furnaces were revived, setting the plant on a recovery path,” they said. However, they stressed that the next phase of improvement must come from within the plant.

“To sustain operations, VSP must achieve 19,000 tonnes of hot metal per day, which translates to 92.5 per cent capacity utilisation,” the officials stated.

They reiterated that additional financial support from the Centre may not be feasible, pointing out that meeting production targets is essential to ensure the plant’s survival. They expressed concern that output had not improved since the recent restart of the third blast furnace and had, in fact, dipped in the current month. They observed that repeated failures of key conveyor systems were affecting production stability.

The officials noted that multiple conveyor belt breakdowns over the past 10 days had raised concerns. “From the nature of the failures, it does not appear that the breakdowns are entirely due to poor maintenance or workmanship,” they stated.

They urged employees to remain alert and report any unusual or suspicious activity. Measures such as installing CCTV cameras at critical points, improving lighting, and strengthening surveillance are already underway to prevent further incidents.

In a separate development, RINL has informed the Police Department about the possibility of foul play in the recent conveyor failures.

An investigation has been initiated. Later in the day, the Joint Secretaries, accompanied by the CMD and senior officials, conducted a site inspection. Visakhapatnam District Collector and Magistrate MN Harendhira Prasad, and Commissioner of Police Shankha Brata Bagchi, were also present during the visit.

Foul play suspected in conveyor failures at plant

In a separate development, RINL has informed the Police department about the possibility of foul play in the recent conveyor failures. An investigation has been initiated. Later in the day, the Joint Secretaries, accompanied by the CMD and senior officials, conducted a site inspection. Visakhapatnam District Collector and Magistrate MN Harendhira Prasad, and Commissioner of Police Shankha Brata Bagchi, were also present during the visit.

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