Natural gas project at Trombay cleared

Natural gas project at Trombay cleared
SHAILESH GAIKWAD

MUMBAI, FEB 15: It is the first major industrial project sanctioned for the city of Mumbai in the last 26 years.

A cabinet sub-committee on industrial development today cleared a Rs 2400 crore natural gas project at Trombay. The project, named Indian Natural Gas, is jointly floated by Tata Electric Company, Total Fina of France and Gas Authority of India Ltd.

The project will convert diesel oil into liquified natural gas which has demand from the industry in and around Mumbai.

This is the first project permitted in Mumbai since 1974 when the locational policy for industries was adopted by the government, said state industry secretary Vishwas Dhumal.

The policy had been adopted by the government to divert industrial development to backward areas of the state as Mumbai was crowded with industrial units. However, the cabinet sub-committe sanctioned the project since it was less-pollutant and environmental friendly,''he said.

``In fact, the cabinet-sub committee cleared the project after considering its nature and growing demand for the compressed natural gas from Mumbai,''he said.

The new project will replace TEC's existing coal and disel oil based plant where the emission has crossed the norms, he added.

A public hearing has already been held and the clearance of the Union Environment Department is awaited, Dhumal said.

The sub-committee also cleared two other projects Bhushan Steel, a Rs 750 crore iron plant in Khopoli, Raigad and Rs 4 crore bio-fertiliser project in Mumbai.

The bio-fertiliser project is being installed by the BMC in associtation with Indag Bio-Fertilisers Ltd. Bio-degradeeble waste will be recycled and reused for manufacturing bio-fertilisers.

The cabinet sub-committee is headed by CM Vilasrao Deshmukh and comprises Industry Minister Patangrao Kadam, ministers for finance, energy, environment and public works.

Meanwhile, a sub-committee was constituted under CM Deshmukh today to sanction infrastructure projects of government undertakings exceeding Rs 25 crore. The clerance is required for the project being taken up by the govt undertakings by raising funds through bonds.