Interview of Director POSCO Research Institute-India, Dr. Chang Ho Kwag

This has been a year since the POSCO and Govt. of Orissa MOU was signed. What has been the progress till date?

Yes, this is exactly a year on 22nd June 2006. Frankly speaking nothing substantial headway has been made in matters of the project but we are doing our best and are confident that at an early date this small phase would pass.

What are the reasons of lack of development in the project?

There are quite a few. To start with the issue of prospecting license of mining is an important one. The recently passed Rehabilitation and Resettlement (R&R) policy of the Orissa government is another development that we are studying very carefully.In a larger framework, the issue of opposition to POSCO has been small though vocal at times. We have come across with quite a number of people who are in support of a POSCO style project but they have stayed largely silent. So the issue of opposition comes out loud. The developments at Kalinga Nagar have also contributed to this lull in our project.

Do you have any objections or reservations in the R& R policy of the government?

The govt. is perhaps in no mood to consult us and as the govt. has passed the bill and we have to accept it. This R&R policy is an improved version of the National policy and very close to the NAC’s draft R&R Policy where people are central to any development project rather than any industry. It is alleged that the concern for the investor has not been looked at. We are studying all this with careful attention. What I feel is that we have to pay more attention to the sustainability of R& R of the displaced at the same time protect the interest of the investor and the displaced. There have been debates on the issue of an integrated approach to R&R policy. I wish all outstanding issues related to this would be resolved soon.