News Edition 24 Desk: Visakhapatnam Steel Plant workers intensified their protests against the move to privatise the steel plant, in the wake of the Union government inviting bids from transaction advisors and legal advisors, to manage the strategic sale of the steel plant. On July 7, the Department of Investment and Public Asset Management (DIPAM) of the Union Ministry of Finance issued notifications inviting proposals for engagement of transaction advisors and legal advisors to complete the 100% disinvestment of government holdings in Rashtriya Ispat Nigam Limited (RINL) or the Vizag Steel Plant. The last date for submitting the proposals is July 28.
In response to the move, the Visakha Steel Plant workers’ unions intensified their ongoing agitations, staging sit-in protests at the main gate of the steel plant on July 8, Thursday. Commenting on the latest move to expedite the sale of the steel plant, a leader of the Visakha Ukku Parirakshana Porata Committee (Committee for conservation of Visakha steel) told Sakshi TV, “In spite of continued statewide agitations for nearly six months, which have received support from all parties in the state including the ruling YSRCP, and both the Chief Minister YS Jagan Mohan Reddy as well as Leader of Opposition Chandrababu Naidu asking the Union government to rethink the decision, DIPAM has gone ahead and called bids for legal advisors and transaction advisors. They will then be tasked with finding the highest bidding buyers for the steel plant amongst the corporate giants.” Speaking about the history of the steel plant which was established in 1977 after prolonged agitations in its favour in which several protesters lost their lives, the leaders urged the Union government to ensure the steel plant remains in the public sector.
Earlier on January 27, the Cabinet Committee on Economic Affairs (CCEA) gave its in-principle approval for 100% strategic disinvestment of Government of India’s shareholding in the Vizag Steel Plant. Since then, the steel plant workers’ unions, as well as trade unions and various political parties in the state have opposed the move to privatise the steel plant. Chief Minister Jagan has written to Prime Minister Narendra Modi on multiple occasions, urging the Union government to reconsider the move, and proposing alternative measures to turn it into a profitable venture.