YSRCP opposes Vizag steel plant privatisation, offers alternative solution

The ruling YSRCP of Andhra Pradesh has once again opposed the proposed privatisation of Vizag Steel plant, this time in the Parliament itself. Its parliamentary party leader Vijay Sai Reddy once again made it very clear the party’s stance in the Rajya Sabha and offered alternative solutions to make it profitable.

He said that neither the party nor the state government of Andhra Pradesh accepts the privatisation of the plant. Vijay Sai Reddy said, “One of the Navaratnas, the Vizag steel plant, should not be privatised under any circumstances. The first and top priority should be given to the public sector undertakings. Coal mines should be allocated to RINL Vizag. I am not opposing the allocation of captive mines to the private sector. The bill should be suitably amended to allocate mines first to the public sector undertakings and thereafter, if left, to the private sector. There are so many public undertakings which are fulfilling social responsibilities and social obligations and providing employment, whereas the private sector solely works on making profits.” He said that if public sector undertakings are given the same treatment like the private ones, the steel plant need not be privatised.Vijay Sai Reddy explained in Rajya Sabha how the steel plant which was once profit making, has been pushed into debt. He said, “Vizag Steel plant is one of the Navarathnas which the Government of India wants to privatise, It’s incurring losses for two reasons. One is that it does not have captive mines. It has got debt worth Rs 20,000 crore on which 14% interest rate is paid. It’s a burden on the company.”