May 2, 2011 2:19 PM

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Environment Ministry grants final approval for Posco project

Environment Ministry today granted final approval to Orissa Government for diversion of 1,253 hectares of forest land for Posco project. AIR correspondent quoting official sources said that ministry has given the nod to the state government to transfer the disputed land of the Govindpur village to the steel giant. With the decision the decks seem to be clear for the renewal of Memorandum of Understanding with Posco India for its 12 million tonne per annum greenfield steel project proposed near Paradip. Posco India had entered into a MoU with the Orissa government on June 22, 2005 for a period of five years.The renewal of MoU with Posco India had hit a roadblock, ostensibly due to the South Korean steel firm's reservations over the mandatory implementation of the employment clause introduced by the state government for all industries.

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