The Centre has approved the proposal of the Tamil Nadu government for setting up a Petroleum, Chemical and Petrochemical Investment Region (PCPIR) in Cuddalore and Nagapattinam districts. The region is expected to attract an investment of around Rs 92,160 crore.
In a written reply in the Lok Sabha today Minister of State for Chemicals and Fertilisers, Srikant Kumar Jena said that the proposal involves setting up of a PCPIR in Cuddalore & Nagapattinam districts covering an area of 256.83 sq km. It envisages Government of India support of Rs 2,643 crore consisting of (viability gap funding) VGF Funding for two road projects, desalination and common effluent treatment plants and direct budgetary support for creation of rail infrastructure.
The Government has approved proposals for setting of PCPIRs in Visakhapatnam-Kakinada region in Andhra Pradesh, at Paradip in Orissa and at Dahej in Gujarat, said the Minister.
According to the Government's estimate, a total investment of around Rs 92,160 crore is expected in the Region, which includes committed investment of Rs 22,160 crore.
It was envisaged development of physical infrastructure such as roads, rail, air links, ports, water supply, power, desalination plant, CETP and others alone would cost around Rs 13,354 crore.
The PCPIR policy prescribes that infrastructure will be created/upgraded through Public Private Partnerships to the extent possible and Central Government will provide the necessary Viability Gap Funding (VGF).
Earlier Government of Tamil Nadu has sought support from Government of India involving a commitment Rs 1,143 crore on account of VGF funding for two road- related projects, CETP and desalination plants and Rs 1,500 crore of direct budgetary support for a rail project
The project will be in the Cuddalore and Nagapattinam districts in the coastal belt of Cuddalore, Chidambaram, Shirali and Tarangambadi Talukas. It will cover an area of 256.83 sq. kms. with a processing area of 104 sq. kms. and the balance for non-processing activities and will include residential, commercial and other social and institutional infrastructure
