Senior officials from the Ministry of Steel have delivered a stark message about the future of Rashtriya Ispat Nigam Limited's Visakhapatnam Steel Plant, stating that the company's survival directly depends on reaching higher production levels immediately.
Critical Production Targets for Survival
During their recent visit to the Visakhapatnam facility, joint secretaries Abhijit Narendra and Daya Nidhan Pandey emphasized that RINL's viability is critically tied to achieving 19,000 tonnes of hot metal per day. This production level would ensure 92.5% capacity utilisation for the plant, which they identified as essential for long-term sustainability.
The officials conducted three interactive sessions with employees, joined by RINL CMD (Addl Charge) Ajit Kumar Saxena, with approximately 1,000 employees participating in total. They provided context about the plant's recent struggles, noting that until September last year, VSP operated with only one blast furnace, producing at about 30% of its capacity.
Recovery Path and Financial Realities
With financial support from the Centre, the plant managed to revive two blast furnaces, putting the facility on a recovery trajectory. However, the officials made it clear that further financial assistance from the central government may not be feasible, making the achievement of production targets even more crucial for the plant's continued operations.
Despite the restart of the third blast furnace, the officials expressed serious concern about declining output levels in recent operations. They highlighted a particularly troubling pattern of repeated conveyor breakdowns over the past 10 days that have hampered production efforts.
Sabotage Concerns and Security Measures
The nature of these frequent breakdowns has raised suspicions among officials, who indicated that the incidents suggest possible sabotage rather than just poor maintenance. The joint secretaries issued a strong warning that intentional damage to plant equipment will not be tolerated under any circumstances.
In response to these concerns, officials announced that surveillance measures will be strengthened across the facility. This includes the installation of additional CCTV cameras and improved illumination in key areas to enhance security and prevent potential sabotage attempts. Employees were urged to remain vigilant and report any suspicious activities that could compromise plant operations.
The message from steel ministry leadership was unequivocal: meeting the daily production target of 19,000 tonnes is no longer just an operational goal but a fundamental requirement for the survival of one of India's important public sector steel plants.
