The Union government today approved the closure of Hindustan Fertiliser Corporation's Barauni and Durgapur units and Fertiliser Corporation of India's Sindri unit.
Briefing reporters after the Cabinet meeting, Information and Broadcasting minister Sushma Swaraj said: "The decision to close the two units was in line with recommendations of the group of ministers set up in May 2001 to examine the restructuring of HFC and FCI."
The government has also decided to give Bihar the priority for all future greenfield projects in LNG and Naphtha. The employees of the closed units will be given voluntary separation scheme (VSS) and the assets will be disposed as per the provisions of the Sick Industrial Companies Act, 1985.
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The Cabinet also approved the 800 mw stage-II of the Rs 3,919.59-crore Parbati hydro-electric project in Himachal Pradesh. The project is scheduled to be completed in 7 years.
In another decision, the Cabinet okayed the jail reforms at a cost of Rs 1,800 crore. According to the plan, new jails will be constructed, old jails will be renovated, residential accommodation will be constructed for prison staff, sanitation and facilities for women prisoners will be enhanced.