VSP to produce 4 mt hot metal, 3 mt saleable steel

The Visakhapatnam Steel Plant (VSP) has made a commitment to produce 4.182 million tonnes of hot metal and 3.207 million tonnes of saleable steel in the year 2006-07 correspond to a capacity utilisation of 123 per cent and 121 per cent respectively for achieving an 'excellent rating' as per an MoU with the ministry of steel.

The MoU contains five parts "� vision, mission and objectives of VSP; exercise of enhanced autonomy and delegation of financial powers; performance evaluation parameters and targets; commitments/assistance from the government and action plan for implementation and monitoring of the MoU, VSP said in a press release.

Project milestones in respect of expansion of the plant capacity and coke oven battery-4 involving an expenditure of Rs 850 crore during 2006-07 have been included in the MoU. Techno-economic parameters like specific energy consumption, specific water consumption, LD converter productivity, and labour productivity, which indicate the efficiency of operations, have been included as specific parameters in the performance evaluation criteria of the MoU, it added.

Mano Ranjan, secretary to the ministry of steel and Y Siva Sagar Rao, chairman-cum-managing director, VSP, signed the MoU.