SAIL owes Rs 204.10 crore to SDF that serves SSIC units
Updated: Aug 04, 2014 05:09:45pm
New Delhi, Aug 4 (KNN) The public sector SAIL owes government Rs 204.10 crore (loan) and interest on the same towards the Steel Development Fund, which is used among other things, for development of the SSIC units.
This information was given in a written reply in the Lok Sabha today by Minister of State for Mines, Steel and Labour and Employment, Vishnu Deo Sai.
While an interest of Rs 651.43 was receivable from Steel Authority of India Limited (SAIL) as on 31.3.2014, so far it has paid Rs 507.14 crore as interest, the Minister said, adding that the loan is being recycled as fresh loan.
The Steel Development Fund (SDF) was set up in 1978 for the development and rehabilitation of the steel industry.
In 1997, the Union Cabinet decided on the objectives of the SDF which indicated that expenditure not exceeding of Rs 150.00 crore may be incurred exclusively on research and development of steel in the country.
A further expenditure not exceeding Rs 50.00 crore may be incurred on assistance to the SSIC Units; environmental and pollution control in the iron and steel sector; export promotion and market development not exceeding Rs 5.00 crore in a year; expenditure on account of Economic Research Unit of JPC; and expenditure on account of Prime Minister’s Trophy.
Accordingly, during the last three years, the SDF fund has been utilized for those purposes. However, no investment has been made by Steel Authority of India Limited (SAIL) for setting up gas-based steel plants abroad. (KNN/ES)
This information was given in a written reply in the Lok Sabha today by Minister of State for Mines, Steel and Labour and Employment, Vishnu Deo Sai.
While an interest of Rs 651.43 was receivable from Steel Authority of India Limited (SAIL) as on 31.3.2014, so far it has paid Rs 507.14 crore as interest, the Minister said, adding that the loan is being recycled as fresh loan.
The Steel Development Fund (SDF) was set up in 1978 for the development and rehabilitation of the steel industry.
In 1997, the Union Cabinet decided on the objectives of the SDF which indicated that expenditure not exceeding of Rs 150.00 crore may be incurred exclusively on research and development of steel in the country.
A further expenditure not exceeding Rs 50.00 crore may be incurred on assistance to the SSIC Units; environmental and pollution control in the iron and steel sector; export promotion and market development not exceeding Rs 5.00 crore in a year; expenditure on account of Economic Research Unit of JPC; and expenditure on account of Prime Minister’s Trophy.
Accordingly, during the last three years, the SDF fund has been utilized for those purposes. However, no investment has been made by Steel Authority of India Limited (SAIL) for setting up gas-based steel plants abroad. (KNN/ES)
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