Strategic-Objectives

NEW STEEL PLANT AT KALINGANAGAR, ODISHA

On completing 100 years of existence as pioneers in steel making in India, Tata Steel embarked onto its highly ambitious largest expansion outside Jamshedpur in 2004, and zeroed in on Kalinganagar in Odisha. It was a strategic choice to set up a mega greenfield project, thereby contributing to stakeholder value in the times to come.

A Memorandum of Understanding was signed between the Government of Odisha and Tata Steel on 17th November, 2004 for setting up a 6 million tonnes per annum integrated steel plant at Kalinganagar Industrial Complex in Jajpur district of Odisha. Though the foundation for the advancements at Kalinganagar Industrial Complex were established then, but the year 2010 witnessed the project into main action and since then there has been no looking back.

The first phase of 3 million tonnes per annum of the futuristic plant being implemented at an investment of Rs. 25,164 crores is expected to be commissioned by March 2015, a promising start to the ambitious plans of the steel behemoth.

The plant's world-class technology, strategic location and access to key markets are the key reasons for all involved to be ecstatic about. On completion, the facility will be a testimony of infrastructure excellence and the Vision the Company has set for itself.

A key to address the demands of the future

In its effort to synergise its growth ambitions with its customers' plans and requirements, creating new product mix has been a strategic approach for Tata Steel. The marked growth in automobile sector is leading towards increased demand for specialised flat steel products by the automobile majors, thereby offering a valuable opportunity in a high premium market to Tata Steel, already a preferred supplier to the sector.

With the setting up of the Kalinganagar facility, Tata Steel will reinforce its long-term supply commitment to the fast growing auto market. It will be uniquely positioned to serve the growth markets, in India and beyond.

The first phase will cover various grades of hot-rolled products of different thicknesses. The setting up of the cold rolling mill in the second phase, should be a delight to the auto major customers.

The finished product of Advanced High Strength Steels (AHSS) of 1800 mm wide with tensile strength of 800 MPa (mega pascal) from the facility will address to a great extent the future requirements of auto manufacturers for light weight higher strength steels while offering much better fuel efficiency.

Making giant strides towards commissioning

An integrated steel plant, the Kalinganagar facility will be having its captive power generation, raw material handling facilities, railway lines, connectivity with port, etc. While the civil work is almost completed, the structural and erection work is going on at an enviable pace.

The project achieved major milestones during 2013. These included substantial handovers and completion of civil work and new erection work in several areas.

By March 2014, concreting of 12.60 lakh cubic metres, structural erection of 1.64 lakh metric tonnes, structural fabrication of 2.12 lakh metric tonnes and equipment erections of 48,400 metric tonnes were completed.

All mission critical plants like power plant, coke oven, sinter plant, blast furnace, steel melting shop and hot strip mill are fast moving towards completion.

Achieving growth with sustainability

The designing of the plant has been done with an emphasis on recycling waste. While waste gas from the coke oven and blast furnace will be fuelling the power plants thereby reducing dependence on fossil fuels, slag from the blast furnace will be supplied as raw material to cement manufacturing units in the nearby areas. A zero liquid discharge plant, the waste water will be processed in an effluent treatment plant and recycled for use in the plant.

Inclusive growth

At its Kalinganagar plant in Odisha, benchmarks are being set by Tata Steel with regard to welfare and empowerment of communities and in facilitating their inclusive growth. Following its Founder, Jamsetji Nusserwanji Tata's business philosophy, the wealth-creation process of the Company contributes substantially to the holistic development of the region through promotion of education, healthcare, sports, women empowerment, infrastructure development, livelihood initiatives, etc.

Phase-1 of the project is likely to generate more than 1,500 direct and 3,000 indirect employment. At the inception stage while more than 36,000 people are engaged in construction, about 80% are from the state of Odisha. The project, apart from promoting direct and indirect employment, would be instrumental in promotion of ancillaries and downstream industries thereby ushering in the socio-economic progress of the State in general and the region in particular.

Tata Steel Parivar: Ensuring better quality of life, income and happiness

To ensure a better quality of life, income and happiness for the displaced families of the Kalinganagar project, the 'Tata Steel Parivar' rehabilitation scheme has been launched. Rehabilitation colonies have been set up with modern amenities like electricity, running water, all weather roads etc. To improve employability in the new work environment, 536 people have been assisted with skill up-gradation training. Tata Steel Parivar goes beyond rehabilitation to empower families for a brighter future. Here are some such initiatives:

  • Set up 'Prerana' Skill Development Centre at Kalinganagar to improve employability of the displaced people
  • Dispensaries, electricity, piped water, well-lit streets, open space for festivities and sanitation for homes
  • Tata Steel Parivar Scholarship to promote technical education among the children of relocated families
  • Sustainable livelihood programmes through 39 Self Help Groups
  • Grievance Redressal Group comprising eminent citizens of Odisha formed
  • 96% growth in income and 293% increase in the asset value of the relocated families of Kalinganagar project between 2006 and 2010

Focus on Health, Education & Livelihood initiatives

  • Foundation stone for a 200-bed hospital at Kalinganagar laid – to have specialised departments like Medicine, Surgery, Gynaecology & Obstetrics etc., with ultra-modern ICU and Emergency Services
  • Installation of solar street lights in periphery villages of Kalinganagar
  • Jyoti Fellowship for meritorious SC/ST students
  • Training farmers on System of Rice Intensification (SRI)
  • Inter-village 'Pragati' Football Tournaments for the youth and Inter-Self Help Group 'Tejaswini' Competitions organised regularly
Kalinganagar-project

Kalinganagar project speeding towards completion, Odisha, India