Indicating major investment plans for Andhra Pradesh alongside a gas pipe line project, Reliance Industries Ltd (RIL) today sought 25,000 acre of land for the development of an exclusive Special Economic Zone (SEZ). |
Though the nature of the operations in the proposed SEZ is not yet clear, the company stressed the need for an airport, reachable within 20-30 minutes drive from the facility. |
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Expressing the government's willingness to provide the land, chief minister Y S Rajasekhara Reddy went a step ahead and offered land near the upcoming international airport on the city outskirts here, officials said. |
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The proposals of RIL came up for discussion at the meeting held by the chief minister with senior officials and ministers. P M S Prasad, president, oil & gas, RIL, gave a presentation on the gas pipe line project at the meeting. |
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Besides SEZ proposal, Prasad also informed the government about RIL's intention to build a huge petrochemical complex and a bio-diesel production facility with one-lakh tonne capacity at Kakinada, officials said. |
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This is the first major investment plan proposed by a corporate group in Andhra Pradesh in recent times. The only other major investment initiative came recently from ONGC and HPCL. for setting up of greenfield petrochemical complexes and a 10,000-acre SEZ in Andhra at a cost of more than Rs 20,000 crore. |
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RIL chairman & managing director Mukesh Ambani recently visited Hyderabad and explained to the chief minister the company's plans with regard to gas production in the KG basin. |
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While assuring his government's support to RIL's investment plans in the state, chief minister Rajasekhara Reddy, however, asked the company to ensure supply of gas for domestic, industrial and commercial purposes in the state by June 2008 not by the end of 2008 as indicated by Prasad, officials said. |
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According to them, Prasad explained to the chief minister that the gas would be made available in seven districts from where the proposed 48'' diameter main pipeline passes through between Kakinada and Hyderabad and to be extended to Jamngar in Gujarat, by 2008. But the chief minister wanted the gas distribution network to be ready to cover the entire state by June 2008. |
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Sources said the government was yet to make up its mind whether to allow Reliance or GAIL to join its endeavor to develop the proposed state grid for statewide gas distribution network, or to take part in the construction of trunk line project proposed by Reliance for the evacuation of gas from the KG Basin. |
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The length of the pipeline in the state is 565 km and requires huge investment, officials said. RIL is still in the process of getting clearances for the proposed Kakinada-Jamnagar pipe line project. |
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According to a press release, the chief minister also suggested to the company representatives that they take up biodiesel plantation programme in association with the state forest development corporation which has already drawn up plans to grow biodiesel plantation in one lakh acres. On the prowl
YSR Reddy has offered land near the upcoming international airport
RIL's may also build a petrochem complex and a bio-diesel production unit |
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