Union Cabinet on Wednesday approved revival of three closed fertiliser plants at Gorakhpur, Sindri and Barauni, at an estimated cost of Rs 18,000 cr, as part of its efforts to meet the demand of the eastern States and make India self-sufficient in urea output. The output expected from these units is 1.27 million tones per year. Cabinet, chaired by Prime Minister Narendra Modi also approved a skill development project under Pradhan Mantri Kaushal Vikas Yojana (PMKVY) with an outlay of Rs 12000 crore aiming to impart skills to one core youth over next for years.
The Fertiliser Corporation India ltd (FCIl) has two closed urea plants at Sindri (Jharkhand) and Gorakhpur (Uttar Pradesh), while Hindustan Fertilisers Corporation ltd (HFCl) has one closed factory at Barauni (Bihar). "These three fertilisers units would be revived by means of Special Purpose Vehicle (SPV) of Public Sector Units (PSUs) namely, National Thermal Power Corporation (NTPC), Coal India ltd (CIl), Indian Oil Corporation ltd (IOCl) and FCIl/HFCl, through 'nomination route'," an official statement said.
"Today's decision is a game changer in economy of eastern India," law and IT Minister Ravi Shankar Prasad told reporters here. Earlier in 2015, the government had approved revival of these three units through 'bidding route'.
However, the bidding process could not be carried forward due to receipt of only one application each against 'Request for Qualifications' (RFQs) for revival of Gorakhpur and Sindri units of FCIl, the statement said.
The revival of these plants would ease the pressure on rail-road infrastructure due to long distance transportation of urea from western and central regions and thereby saving in Government subsidy on freight.
Moreover, this would accelerate the economic development of the eastern region and create opportunities for 1,200 direct and 4,500 indirect employments.
"GAIl has planned to lay a gas pipeline from Jagdishpur to Haldia. These units will serve as anchor customer for this pipeline and ensure its viability," Prasad said.
PMKVY will impart fresh training to 60 lakh youth and certify 40 lakh people who have acquired skills non-formally under the Recognition of Prior learning (RPl), said Prasad.
"Skill training would be done based on industry-led standards aligned to the National Skill Qualification Framework (NSQF)," an official statement said. Apart from catering to domestic skill needs, PMKVY will focus on skill training aligned with international standards for overseas employment, including in Gulf countries and Europe. There will be scholarships for students undergoing training in high-end job roles under the programme.
Cabinet also cleared a proposal to sell its part stake in state-owned construction company NBCC India with an aim to meet the ambitious Rs 56,500-crore PSU disinvestment target in 2016-17. At present, the government holds 90 per cent in the company, which has a market capitalisation of Rs 14,274 crore.
The Cabinet approved the Revised Cost Estimate (RCE) of Rs 7,290.62 crore for the ongoing Hydroelectric Project (HEP) in Bhutan. "The total cost escalation for the project, at this stage, is Rs 3,512.82 crore," said an official statement.
"This is a sign of further strengthening of relations between India and Bhutan," said Prasad. The project will provide surplus power to India and thus augment power availability in the country and would enable project works to proceed smoothly without interruption.