Government set for Rs 20,000 crore plan to hike SAIL's Bokaro plant capacity

Union Minister H D Kumaraswamy launched a Rs 20,000-crore expansion plan for domestic steel giant SAIL's Bokaro Steel Plant (BSL), which will augment its capacity to 7.55 million tonnes per annum (MTPA). The Bokaro Steel Plant, established in 1965, with the first blast furnace operation in 1972, initially had a capacity of 1.7 MTPA.

"Union Minister of Steel and Heavy Industries H D Kumaraswamy visited Bokaro Steel Plant where he unveiled an ambitious expansion plan to increase production capacity.

With an investment of Rs 20,000 crore, the brownfield expansion aims to increase hot metal production from the current 5.25 MTPA to 7.55 MTPA, thereby strengthening India's momentum towards Aatmanirbhar Bharat in the steel sector," SAIL said in a statement.

Apart from increasing production, the expansion plan will create 2,500 permanent jobs and 10,000 indirect jobs, it said. "The plant is now set for a massive overhaul with a new 4,500 cubic meter blast furnace, a thin slab casting and direct rolling facility, a calcining plant, a stamp-charge coke oven battery, and a sinter plant expansion, Kumaraswamy said.

Join PSU Connect on WhatsApp now for quick updates! Whatsapp Channel

Read Also : Indranil Bhattacharyya appointed as new Executive Director of RBI

Highlighting the significance of the project, he said, "This expansion is testimony to India's commitment to self-reliance in steel production and is in line with Prime Minister Narendra Modi's vision of a 300 MTPA steel industry by 2030.

The investment of capital and technological advancements will strengthen the steel sector and contribute significantly to India's economic growth." Kumaraswamy also emphasized decarbonization efforts and said that the Bokaro Steel Plant is committed to reducing its carbon emissions from 2.67 tonnes per tonne of crude steel to less than 2.2 tonnes by 2030.

Read Also : PSU Dividend: IRFC and NMDC shares to get focus as PSU to trade ex-date on 21 March

The plant is pursuing its renewable energy initiatives, which include 30 MW floating solar power generation, 20 MW land-based solar power, and 100 MW renewable energy procured from Solar Energy Corporation of India through a power purchase agreement, the statement said.

"These steps reflect our focus on maximizing capacity utilization while optimizing energy consumption, thereby ensuring a sustainable future for India's steel industry," Kumaraswamy said.

Kumaraswamy also inspected the Tasra coal mine, a flagship project aimed at reducing India's dependence on imported coking coal. Once operational in September 2025, the mine will produce 3.5 MTPA of domestic coking coal, strengthening raw material security for steel production.

Read Also : Coal India’s arm Monetizes 2 MTPA Dugda Coal Washery, ensuring Energy Self-reliance