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JSW 

STEEL LIMITED
1.3 MTPA Integrated Steel Plant at
Pottaneri, Salem, Tamilnadu
  Pre-feasibility Report   
 
CONTENTS

Chapter - 1 Executive Summary


Chapter - 2 Introduction
Chapter - 3 Project Description
Chapter - 4 Site Analysis
Chapter - 5 Planning Brief
Chapter - 6 Proposed Infrastructure
Chapter - 7 Rehabilitation and Re-settlement (R & R) Plan
Chapter - 8 Project Schedule and Cost Estimates
Chapter - 9 Analysis of Proposal
 

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JSW STEEL LIMITED
1.3 MTPA Integrated Steel Plant at
Pottaneri, Salem, Tamilnadu
  Pre-feasibility Report   
 
LIST OF FIGURES

Figure No. Description


Fig. 2.1 Production Capacity of JSW Salem Works
Fig. 3.1 Location Map of Project Site
Fig. 3.2 Satellite Map of Project Site
Fig. 4.1 Road Connectivity Map of Salem
Fig. 4.2 Wind rose of Sep. to Dec. 2014 at Plant Site
Fig. 6.1 Overall layout of the proposed 1.3 MTPA ISP
 

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JSW STEEL LIMITED
1.3 MTPA Integrated Steel Plant at
Pottaneri, Salem, Tamilnadu
  Pre-feasibility Report   
 
LIST OF TABLES

Table No. Description


Table 1.1 Proposed Configuration for 1.3 MTPA
Table 3.1 Proposed Changes in the Configuration of the Facilities and Products
Table 3.2 List of Raw Material Requirement
Table 3.3 Quantity of Solid Waste present and after Expansion
Table 4.1 Monthly Rainfall (mm) and Humidity

Table 5.1 Villages Falling within 10 km Radius from the Project Site

Table 8.1 Cost of Pollution Control and Monitoring Measures


 

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JSW STEEL LIMITED
1.3 MTPA Integrated Steel Plant at
Pottaneri, Salem, Tamilnadu
  Pre-feasibility Report   
 
CHAPTER - 1
EXECUTIVE SUMMARY

M/s. JSW Steel Limited, Salem works is a part of JSW group, leading
manufacturer of alloy steels to meet the requirement of auto mobile sectors and
engineering applications. The plant is located at M.Kallipatti and Pottaneri
Village of Mettur taluk, Salem district, Tamilnadu state. JSW Steel, Salem
works is planning to expand the existing capacity from 1 to 1.3 MTPA. In this
regard, M/s. JSW Steel Ltd is planned to approach MoEF and obtain
environmental clearance from the ministry for the proposal of plant expansion.

To enhance the capacity from 1 to 1.3 MTPA, the following units namely
additional sinter plant of 90 m2, Blast furnace 1 & 2 will be enhanced, Energy
Optimization Furnace 1 will be enhanced, new bloom caster will be installed by
enhancing the capacity of BRM from 0.4 MTPA to 0.48 MTPA and Blooming
mill from 0.36 to 0.48 MTPA respectively. Installation of new annealing furnace
of 0.06 MT, additional oxygen plant of 250 TPD and additional 30 MW power
plant are also planned.

The existing land area is 586.09 acres. This land will be utilized for the
expansion of the plant.

The name plate capacity of the plant is 1 MTPA Integrated steel plant. The
Proposed configuration for 1.3 MTPA plant is as shown in Table 1.1.  
 
 
 
 

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JSW STEEL LIMITED
1.3 MTPA Integrated Steel Plant at
Pottaneri, Salem, Tamilnadu
  Pre-feasibility Report   
 
Table 1.1
Proposed configuration for 1.3 MTPA

Total
Existing
Proposed Capacity
Manufacturing Facilities Capacity
Expansion after
Expansion

1.0 Coke Oven Plant -1 (Non – Recovery


0.50 0.5
Type )
2.0 Sinter Plant – 1 (20 Square Meter) 0.175 0.0
2.1 Sinter Plant – 2 (90 Square Meter) 1.06 1.06
2.2 Sinter Plant – 3 (90 Square Meter) 1.06 1.06
4.0 Blast Furnace – 1 (402 to 650 Cubic 0.683
0.367 0.316
Meter)*
4.0 Blast Furnace – 2 (550 to 650 Cubic
0.578 0.105 0.683
Meter)
5.0 Energy Optimising Furnace – 1 (45 T to
0.41 0.23 0.64
65 T)
5.1 Energy Optimising Furnace – 2 (65 T) 0.62 0.62
7.0 Ladle Furnace - 1 with Common VD
(45 T to 65 T)
7.1 Ladle Furnace – 2 (65 T)

7.2 Ladle Furnace - 3 common VD


(65 T)

7.3 Ladle Furnace - 4 (65 T)

8.0 Continuous Casting Machine - 1 0.35 0.35


8.1 Continuous Casting Machine - 2 0.5 0.5
8.2 Continuous Casting Machine - 3 0.45 0.45
9.0 Bar & Rod Mill Augmentation 0.4 0.08 0.48
9.1 Blooming Mill Augmentation 0.36 0.12 0.48
10.0 Annealed Steel unit 0.00 0.06 0.06
11.0 peeled and ground 0.00 0.04 0.04
12.0. Air Separation Plant 1 – 150 Ton/Day
12.1 Air Separation Plant 2 – 390 Ton/Day
12.2 Air Separation Plant 3 – 250 Ton/Day
13.0 Captive Power Plant 1 (7 MW)
13.1 Captive Power Plant 2 (2 x 30 MW)
13.2 Captive Power Plant 3 (1 x 30)

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JSW STEEL LIMITED
1.3 MTPA Integrated Steel Plant at
Pottaneri, Salem, Tamilnadu
  Pre-feasibility Report   
 
1.1 Sinter Plant:

Presently, plant is operating two sinter plants with machine size 20 sq. m and
90 sq. m respectively. An additional sinter plant of 90 sq. m has been
envisaged with a productivity of 1.45 t/m2/hr for expansion, to cater to the
existing two no. blast furnaces after the capacity augmentation with the total
capacity of 2.12 MTPA. After commissioning and stabilization of sinter plant-
3, sinter plant-1 will be decommissioned.

1.2 Blast furnace

The plant is presently operating with two blast furnaces with capacities of 402
cum and 550 cum respectively. It is proposed to augment the capacities of
both the furnaces to 650 cum each, by replacing the existing refractory lining
with the superior quality refractories of lower thickness.

1.3 Steel making shop

The steel melting shop is having two numbers of Energy Optimizing


Furnaces (EOF), out of which one will be augmented to higher capacity and
thereby ensuring increase in operating capacity of steel melting shop from
0.86 MT to 1.3 MT.

Existing secondary steel refining is having four LRF and two vacuum
degaussing units. Three LRFs are having capacity of 65 T each where as
LRF1 is of 45 Ton which will be augmented to 65 Tons.

1.4 Continuous Casting Machine (CCM)

Existing casters plant comprising of each three stand billet and bloom caster.
In expansion additional bloom caster is envisaged, so as to increase the

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JSW STEEL LIMITED
1.3 MTPA Integrated Steel Plant at
Pottaneri, Salem, Tamilnadu
  Pre-feasibility Report   
 
operating capacity from 1.0 to 1.3 MTPA.

1.5 Bar and Rod mill

Bar and Rod Mill is a semi automated rolling mill having a capacity of 4 lakh
tone per annum. The mill is designed to roll wide range of mild steel and alloy
steel products. Steel billets of size 160 mm x 160 mm x 7m & variety of
grades are charged into the reheating furnace. Rolled in three high reversible
mill, continuous mill of eighteen stand supplemented by Kocks block to have
bar and flat product, additional NTM machine for coil. Mill is having the
capacity of 0.4 MTPA which will be augmented to 0.48 MTPA by incorporating
two sliding stand/six continuous stand in place of trio in expansion.

1.6 Blooming mill

Blooming Mill is designed to produce heavy Rounds, Round Cornered


Square (RCS) in the range of 55 to 240 mm as finished product having a
capacity of 0.36 MTPA. The raw material input to the mill is from Bloom caster
of sizes 250 x 250 mm and 340 x 400 mm. Blooms are reheated in reheating
furnace and rolled in two high reversible mill. The intermediate product is
rolled in continuous 8 stand HV mill and required sizes are cut in hot saw. The
products are dispatched in dispatch area. The present capacity of 0.36 MTPA
is augmented to 0.48 MTPA in expansion by installing additional 2 stands.

1.7 Oxygen plant

Existing plant is having two units of 150 TPD and 390 TPD. In expansion
additional pressure swing absorber oxygen plant of a capacity of 250 TPD is
envisaged to cater Oxygen enrichment in blast furnace and oxygen
requirement of steel.

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JSW STEEL LIMITED
1.3 MTPA Integrated Steel Plant at
Pottaneri, Salem, Tamilnadu
  Pre-feasibility Report   
 
1.8 Power plant

Existing captive power plant comprises of;

 1 x 7 MW using BF gas fired boiler


 1 x 30 MW using WHR Boilers of COP sensible heat and BF gas
 1 x 30 MW using WHR Boilers of COF and supported AFBC boiler.

In expansion, additional 1 X 30 MW using the WHR boilers of COP and BF


gas is planned.

The requirement of 210 MW for 1.3 MTPA is met with the above captive
generation and the grid support of 40 MW from TANGEDCO



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JSW STEEL LIMITED
1.3 MTPA Integrated Steel Plant at
Pottaneri, Salem, Tamilnadu
  Pre-feasibility Report   
 
CHAPTER - 2
INTRODUCTION

2.1 GENERAL

JSW Steel is India’s leading integrated steel producer with a present capacity
of 14.3 MTPA. By maintaining exemplary operational efficiencies, the other
activity like JSW Energy has grown ten-fold in just three years while, JSW
Cement creates the building blocks of India with its environmental benign
product. JSW Infrastructure is contributing to the nation’s development by
providing world class services to various entrepreneur through state-of-the-art
ports, terminals, shipyards and other facilities.

JSW group practices transparent in businesses, strong corporate governance


and their dedicated employees have contributed to make every endeavor a
great success. Expansions, up-gradations and technological innovations are
in built capacity of JSW and focused on individual growth of the company that
which has placed India in the business of steel on the global map.

JSW Group has committed to create more smiles at every step of the
business journey. JSW Foundation, the group’s CSR and sustainability arm,
is in constant pursuit of making life better for communities with its various
initiatives in the fields of health, education, livelihood and sports along with art
and culture.

The course of the impact on environment has changed as a result of pollution


control measures adopted in JSW industries, lush green townships and
cheerful employees with spirited growth. JSW group is proud to be house of
excellence that creates opportunities for every Indian and leads to the
creation of sustainable, dynamic and developed nation.

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JSW STEEL LIMITED
1.3 MTPA Integrated Steel Plant at
Pottaneri, Salem, Tamilnadu
  Pre-feasibility Report   
 
While consistently adding values to its business, JSW is well aware to its
responsibility, towards environment by implementing best practices in its
business operations and contribution to society through various social
endeavors.

M/s. JSW Salem works, one of the leading special steel industry in south
India located at M.Kallipatti & Pottanneri village, Mettur taluk, Salem district,
Tamil Nadu, is planning for expansion of existing integrated steel plant from
1.0 to 1.3 MTPA. M/s. JSW limited had obtained environmental clearance for
1.0 MTPA vide letter no. J-11011/281/2006-IA.II (I) dt. 2nd Jan. 2007, from the
MoEF.

2.2 IDENTIFICATION OF PROJECT AND PROJECT PROPONENT

JSW, Salem works, which is India’s one of the largest Integrated Special
Steel plant located in Tamilnadu, Salem with designed capacity of 1 MTPA.
The production capacity of the plant from the year 2007 to 2014 is shown in
Fig. 2.1.

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JSW
W STEEL LIMIITED
1.3 MT
TPA Integra ated Steel Plant
P at
Potttaneri, Sale
em, Tamilnnadu
  P
Pre-feasibil lity Report  
 
900000
809
9525
800000

T 700000
O 600000 531009
N 500000
N
400000 ASCAST
A
G 300000
AS ROLLED
E 200000
100000
0
2007‐08 2008‐0 010‐11 2011‐12 2012‐13 2013‐14
09 2009‐10 20

YEAR OF PRODUCTION

Fig. 2.1 Produ


uction Cap
pacity of JSW
J Salem
m works

From the
t above figure, th
he producttion capaccity of JSW
W Salem works
w hass
achieve
ed the ma
aximum ca
apacity of 0.86 MTP
PA. In view
w of this it has been
n
planne
ed for expansion of exxisting unitts from 1 to
o 1.3 MTPA
A.

2.3 BRIEF
F DESCRIP
PTION OF NATURE OF PROJECT

To enh
hance the capacity frrom 1 to 1.3 MTPA enhancem
e ments of the
e following
g
units namely sintter plant, blast
b furnacce 1 & 2, Energy
E Opttimization Furnace
F 1,
CCM, Bar
B & rod mill
m and Blooming mill are planned.

Additio
onal units Sinter
S plan
nt, Bloom caster,
c Annealing furnace, Oxy
ygen plantt
ower plant are also envisaged in this expa
and Po ansion plan
n.

2.4 NEED FOR PRO


OJECT AND ITS IMPORTANC
CE

Steel is material of choice


e for indusstrial appliccation due
e to its hig
gh specificc
strengtth and rellatively low
w cost forr unit weight. Prese apita steel
ent per ca
consum
mption in India is about
a 59 kg
k when compared
c apita steel
to per ca

Page
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CON Limited. All rights resserved
 
 
JSW STEEL LIMITED
1.3 MTPA Integrated Steel Plant at
Pottaneri, Salem, Tamilnadu
  Pre-feasibility Report   
 
consumption of 500 to 700 kg in developed countries like Japan, European
countries, South Korea, USA etc. The developing countries like Brazil,
Mexico, and China have per capital consumption of about 110 kg to 150 kg
and the World average is about 150 kg which is also very high when
compared to Indian per capita consumption. Hence, there is a large scope in
India to improve the per capita consumption and thereby need arise to
increase the production of steel.

Automobile sector is growing rapidly in International market and India is


considered as one of the global manufacturers in this sector. Every year
India's GDP growth is adding on considerably to the automobile sector.
Reputed automobile manufactures like Nissan, Hyundai, BMW, Suzuki,
Honda, Chevrolet and Renault are expanding their activities in Indian market
every year. Recent and past southern part of India has witnessed massive
investments in automobile industries. Further, to enable manufacturing
processes, energy demand is also in raising trend and hence investment in
power sector is also inevitable.

At present, JSW Salem works is partially catering to the existing automobile


market and is ranked No.1 in special steel sector in India. In order to bridge
the demand and supply of special steel. JSW Salem works is planning for
expansion from 1 to 1.3 MTPA. Hence, the expansion project is considered
as important and required to bridge the gap between demand and supply in
special steel market.

2.5 EMPLOYMENT GENERATION

During construction phase of an integrated steel plant, there will be an ample


employment opportunities (direct) for local/outside populace during
construction work. There are other benefits, too. Important amongst them is

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1.3 MTPA Integrated Steel Plant at
Pottaneri, Salem, Tamilnadu
  Pre-feasibility Report   
 
the growth of allied steel industries around the plant engaged in supplying
equipments etc. to steel plant creates job opportunities (indirectly), and
contributes significant economic growth of that area. The living conditions
and welfare of people will improve by social welfare schemes which will be
implemented with the project commencement.

 

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JSW STEEL LIMITED
1.3 MTPA Integrated Steel Plant at
Pottaneri, Salem, Tamilnadu
  Pre-feasibility Report   
 
CHAPTER - 3
PROJECT DESCRIPTION
3.1 TYPE OF PROJECT

M/s. JSW Salem works, is an alloy steel plant with the name plate capacity of
1MTPA for which it has obtained consent to operate from state pollution control
board. In view of market demand JSW Salem works is going for capacity
addition from 1 to 1.3 MTPA. The configuration of existing integrated steel
plant which has obtained environmental clearance and proposed expansion
programme are shown in Table 3.1.

Table 3.1
Proposed changes in the configuration of the facilities and products

Total
Existing
Proposed Capacity
Manufacturing Facilities Capacity
Expansion after
Expansion

1.0 Coke Oven Plant -1 (Non – Recovery


0.50 0.5
Type )
2.0 Sinter Plant – 1 (20 Square Meter) 0.175 0.0
2.1 Sinter Plant – 2 (90 Square Meter) 1.06 1.06
2.2 Sinter Plant – 3 (90 Square Meter) 1.06 1.06
4.0 Blast Furnace – 1 (402 to 650 Cubic 0.683
0.367 0.316
Meter)*
4.0 Blast Furnace – 2 (550 to 650 Cubic
0.578 0.105 0.683
Meter)
5.0 Energy Optimising Furnace – 1 (45 T to
0.41 0.23 0.64
65 T)
5.1 Energy Optimising Furnace – 2 (65 T) 0.62 0.62
7.0 Ladle Furnace - 1 with Common VD
(45 T to 65 T)
7.1 Ladle Furnace – 2 (65 T)

7.2 Ladle Furnace - 3 common VD


(65 T)

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1.3 MTPA Integrated Steel Plant at
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7.3 Ladle Furnace - 4 (65 T)

8.0 Continuous Casting Machine - 1 0.35 0.35


8.1 Continuous Casting Machine - 2 0.5 0.5
8.2 Continuous Casting Machine - 3 0.45 0.45
9.0 Bar & Rod Mill Augmentation 0.4 0.08 0.48
9.1 Blooming Mill Augmentation 0.36 0.12 0.48
10.0 Annealed Steel unit 0.00 0.06 0.06
11.0 peeled and ground 0.00 0.04 0.04
12.0. Air Separation Plant 1 – 150 Ton/Day
12.1 Air Separation Plant 2 – 390 Ton/Day
12.2 Air Separation Plant 3 – 250 Ton/Day
13.0 Captive Power Plant 1 (7 MW)
13.1 Captive Power Plant 2 (2 x 30 MW)
13.2 Captive Power Plant 3 (1 x 30)

3.2 LOCATION of JSW PROJECT SITE

The project site of about 586.09 acres is located at M.Kailipatti & Pottenari
village of Mettur taluk in Salem district of Tamilnadu state. The proposed project
site is about 35 km from the Salem town. The latitude and longitude of the
estimated centre point of the project site is as follows:

Latitude: 11o 48’ 16”N to 11o 49’ 2”N


Longitude: 77o 54’ 17”E to 77o 55’ 43”E

Map showing the general location, satellite view of project site is shown in Fig.
3.1 and Fig. 3.2.

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1.3 MTPA Integrated Steel Plant at
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Fig. 3.1 Location map of project site

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1.3 MTPA Integrated Steel Plant at
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Fig. 3.2 Satellite Map of Project site

3.3 SITE SELECTION BASIS

The land is already available for expansion of the project. The main features of
site including environmental considerations make the site suitable for the
proposed expansion are given below:

 Existing plant & land with JSW and thus no R&R issues.
 Logistic support like availability of r aw material, water and power.
 Suitable topography for construction of facilities.

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1.3 MTPA Integrated Steel Plant at
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 Good accessibility through road and rail.
 Safe from site flooding possibility.
 Suitable seismic zone.
 No major storage facilities for inflammable and explosive materials.
 No archeologically important heritage monuments are located within 10
km radius.
 No declared biodiversity parks/sanctuaries are in the surroundings of
site.

3.4 SIZE AND MAGNITUDE OF OPERATION

Total available land along with the existing plant is spread over 586.09 acres
of land and the proposed expansion would be carried out in the existing plant
locations. The magnitude of expansion from 1.0 to 1.3 MTPA.

3.5 PROJECT DESCRIPTION WITH PROCESS DETAILS


Major Units

The following major technological units have been planned for the proposed
expansion and their capacities are indicated in Table 3.1.

(i) Sinter Plant

Sintering is an agglomeration process which converts the iron ore fines into
porous mass to make them as feed material for blast furnace iron making.
Sinter plant with 1.06 MTPA production capacity is planned with a sinter
machine of 90 sq. m size in expansion with necessary accessories like flux
and fuel crushing plant, circular cooler, mixing drums, product screening
facility, waste gas system, etc.

The sinter plant will consist of the following main technological units.

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 Fuel and flux crushing unit
 Flux screening unit
 Storage and Proportioning unit
 Primary mixing room
 Secondary mixing room
 Sintering and cooling unit
 Waste gas dedusting unit
 Main exhaust fan unit
 Cold sinter screening unit
 Plant dedusting units

The coke breeze generated in coke oven plant and blast furnace will be
recycled in sinter plant as solid fuel for sintering. The recycled material from
gas cleaning plant of blast furnace is also utilized. Flux materials like
limestone and dolomite will be crushed to <3 mm size in crushing plant and
stored in the proportioning bins. The coke breeze will be crushed to fines in
the range of 0 – 3 mm size using roll crushers and stored in proportioning
bins. All the raw materials will be mixed into a homogeneous mixer and
nodulised in mixing drums before charging onto sinter machine. Mixed gas
will be used as the fuel in ignition furnace in the sinter machine. Sintering will
take place in the machine and the hot sinter will be discharged to the circular
cooling machine. The cooled sinter will be screened to separate the fines <5
mm from the product sinter. The screened product will be dispatched to blast
furnace.

(ii) Blast furnace

The blast furnace is a vertical counter-current heat exchanger as well as a


chemical reactor in which burden material charged from the top descend

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downward and the gasses generated at the tuyere level ascend upward.
The inside profile of the furnace from top to bottom is termed furnace throat,
shaft, belly, bosh and hearth. The throat is the top part of the furnace and
includes the installation necessary for charging coke and burden materials
and drawing off the top gasses. The top gas is routed from the furnace
top to the gas purifiers and then to the consumption zones. The profile of
the furnace widens in the shaft that follows. The widening of the furnace
chamber from top to bottom is necessary to avoid hanging and scaffolding
of the burden in the blast furnace when the raw material expands during
heating. The height of the shaft is about 3/5 of the total height of the
furnace. The shaft is followed by the belly and bosh. The profile again
narrows in the bosh, as this is the part of the furnace, where the stock
column starts to melt the hearth is the lower cylindrical part of the furnace
where the fluid slag and the hot metal accumulate. Arranged in the upper
part of the hearth are water-cooled tuyeres made of copper. The hot air for
combustion is injected through these into the blast furnace. Hot metal is
tapped through the tap hole, which is opened by power driven drills into a
train of ladles kept below the runner of the cast house. Slag comes along
with the metal and is skimmed off with the help of skimmer plate towards
slag runner and is granulated and collected in the slag granulation plant. The
tap hole is tightly sealed with a mud gun after tapping process is complete.

Raw material (ore, sinter, coke) are screened before being charged into the
blast furnace through conveyors or skip. Air for combustion in the blast
furnace is blown from turbo blowers which is preheated in hot blast stoves to
temperatures around 1200°C, which is then blown through tuyeres.

In to the blast furnace. Each blast furnace is equipped with minimum three
stoves which operate alternatively. Preheating of air helps in reducing fuel
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consumption in the furnace.

The useful volume of the proposed BF’s shall be 650 m3 X 2 No’s with total
production of 1.3 MTPA gross hot metal and after considering handling
losses the net hot metal available for steel making shall be 1366000 TPA.
The feed charge to BF shall consist of 75% sinter, 25% pellet or lump ore.

(iii) Steel making shop


 

The Energy Optimizing Furnace (EOF) operates as a batch melting process


producing batches of molten steel known "heats". The EOF furnace
operating cycle is called the tap-to-tap cycle and is made up of the
following operations:

 Furnace charging.
 Melting.
 Refining.
 De-slagging.
 Tapping.
 Furnace turn-around.

Modern operations aim for a tap-to-tap time of less than 40 minutes.

EOF shall be equipped with atmospheric injectors, tuyers & supersonic


lancers. Hot metal from the blast furnace is poured through launders. Oxygen
lances for refining of the liquid bath.

The present EOF- 1 is of capacity 1x45 T/heat and EOF 2 is of capacity


1x65 T/heat. EOF-1 will be augmented to 65 T/heat size in expansion. This

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will be capable of producing 1260000 TPA of liquid steel. The metallic feed
to EOF shall consist of 85% Hot metal and up to 15% solid charges
depending on the availability of scrap.

The liquid steel produced from EOF & LD Converter shall be subjected to
secondary metallurgy operation in ladle furnace with vacuum degassing.

.
(iv) Ladle Refining Furnace (LRF)

Secondary steel treatment in the LRF provides the production of steel with
high precision as for chemical composition and temperature, allows
desulphuration of metal to be brought up to the specified parameters, the
amount of nonmetallic inclusions to be reduced and it also serves as the
accumulating and damping facility between a melting unit and steel casting
units. Since this is an alloy steel unit, the secondary additions are carried out
in this LRF unit to have the required chemical composition. Thus refined steel
from LRF is subjected to Vacuum degassing in the common VD unit for 2
LRF. It provides high degree of degassing, de-oxidation, desulphuration,
decarburization and nonmetallic inclusions removal. LRF + VD units are
equipped with argon lancing or if necessary, with oxygen blowing.
Required vacuum is created with the aid of VD boilers.

The liquid steel after secondary metallurgy operation shall be sent to


continuous casting machine. A brief description of CCM is as given below:

(v) Continuous Casting Machine (CCM)

During continuous casting, the liquid steel passes from the pouring ladle,
with the exclusion of air, via a tundish with an adjustable discharge device

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into the short, water-cooled copper mould. The shape of the mould defines
the shape of the steel. Before casting, the bottom of the mould is sealed with
a so-called dummy bar. As soon as the bath reaches its intended steel level,
the mould starts to oscillate vertically in order to prevent the strand adhering
to its walls. The red hot strand, solidified at the surface zones, is drawn
from the mould, first with the aid of a dummy bar, and later by driving rolls.
Because of its liquid core, the strand must be carefully sprayed and cooled
down with water. Rolls on all sides must also support it until it has
completely solidified. This prevents the still thin rim zone from disintegrating.
Once it has completely solidified, the strand can be divided by mobile cutting
torches or shears. Intensive cooling leads to a homogeneous solidification
microstructure with favorable technological properties. High casting speeds
are achievable nowadays; depending on dimensions and the number of
strands that cast simultaneously, speeds of about 0.6 to 3.5 m/min are
possible for slabs.

The existing CCM shop consists of a billet caster & Bloom caster which
produces billets & blooms. In expansion, it is planned to install bloom caster
3 to reach the capacity of 1.3 MTPA.

(vi) Bar mill

Bar and Rod mill is a semi automated rolling mill having a capacity of 0.48
MTPA. The mill is designed to roll wide range of mild steel and alloy steel
products. Steel billets of size 160 mm x 160 mm x 7m & variety of grades are
charged on to the charging grid and fed into the re-heating furnace to heat it
to a maximum of 1250 deg C. After attaining the required temperature these
hot billets are discharged from the furnace and fed into a three high mill
(TRIO) for further reduction to 104 mm x 112 mm. Billet reduced at TRIO will

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be sent to continuous mill (Train 1, 2 & 3) for further reduction to get the
required finishing size at the Kocks Block. Bars/flats, leaving the Kocks
Block/Continuous mill are divided by a dividing shear located after the
continuous mill, fed into the cooling bed and further cut into 500 T cold shear.
Finished product are bundled in the bundling station and stacked in the yard
in respective location. In case of coil production for sizes less than 16 mm,
bars leaving the Kocks Block are finished at NTM and they are wound in coil
shape by the Laying Head which is guided by a pinch roll. The bottom end of
the pipe revolves rapidly and forms the rod into rings that overlap in
spenserian form on to the stelmor conveyor where it can control the cooling
rate of the coil with the help of blowers. The coils are carried through the
conveyor and the coils are loaded to the ‘C’ hook conveyor by means of Coil
Transfer car and they are cooled to ambient temperature after passing
through a conveyor consisting of 100 no’s of ‘C’ hooks. These coils are
Inspected, end trimmed, compacted, bound/strapped and unloaded from the
conveyor. Coils are then stacked at the stacking yard at the designated
places. In case of coil production for sizes more than 16 mm, the finished bar
from Kocks travel through water boxes 1 & 2, then it is fed through pinch roll
to the Garret Coiler. These hot coils are handled with the help of a plate
conveyor.

(vii) Blooming mill

Blooming mill is designed to produce heavy rounds, Round Cornered Square


(RCS) in the range of 55 to 240 mm as finished product having a capacity of
0.36 MTPA. The raw material input to the mill is from Bloom caster of sizes i)
250 x 250 mm ii) 340 x 400 mm. It consists of reheating furnace of 100 T
capacity of BF gas fired with roller table to feed into two high reversible mill.
The Intermediate size from two high reversible mill is fed into 8 stands
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horizontal and vertical mill for further reduction to required sizes. The
products are transferred to hot saw roller table where it is cut into sizes and
fed into cooling bed. The end product after cooled is inspected in automatic
inspection line, Bundled and stored in stacking area for dispatch. In addition
to above another two strands shall be installed and capacity shall be
increased from 0.36 to 0.48 MTPA.

(viii) Oxygen plant


 

Oxygen (99.6% purity) will be consumed in blast furnace for oxygen


enrichment of blast and oxygen (99.6% purity) will also be consumed in the
steelmaking shop for blowing in the EOF, L D Converter and L R F for steel
making, in the continuous casting plant to meet the cutting needs and also
to meet the general purpose requirement of various shops of the steel
plant. Argon will be required for rinsing in ladles and also to maintain inert
atmosphere in the mould/tundish. Nitrogen will be required for purging of
gas pipelines, blast furnace top charging equipment, etc.

Oxygen, nitrogen and argon will be produced by air separation process


based on low pressure cryogenic cycle and double column rectification
system. Oxygen shall be supplied with internal compression with process
liquid pumps and nitrogen either internal or external compression.

In expansion existing capacity of Air Separation Plant (ASP) is augmented


with 250 TPD Pressure Swing Absorber/cryogenic plant.

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(ix) Power plant
 

The present captive power generation units are as below

i) 1 x 30 MW – 30 MW (AFBC) coal based power plant


ii) 1 x 30 MW – 30 MW BFG and WHR Boilers
iii) 1 x 7.5 MW – BFG and FO based

In the proposed power generation plan, additional 1 x 30 MW generation unit


will be installed which will be based on BFG and WHR Boiler from expansion.

03.06 RAW MATERIAL REQUIREMENT

The raw material required for the proposed project along with the source is
listed in Table 3.2.
Table 3.2
List of raw material requirement
Sl. Quantity
NO. Raw material MMT/Year Source

Iron ore fines Indigenous/Imported


1 1.378
2 Iron ore pellets 0.5 Indigenous source
3 Lump ore 0.821 Indigenous/Imported
4 Coking coal 0.637 Imported

5 Non coking coal (PCI) 0.407 Imported/

7 Power plant coal 0.198 Indigenous/Imported

8 Coke breeze for SP 0.023 Imported


Limestone Imported/indigenous
9 0.102
Dolomite
10 0.148 indigenous

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Sl. Quantity
NO. Raw material MMT/Year Source
Quartzite indigenous
11 0.0224
Dunite
12 0.021 indigenous
Lime powder
13 0.095 Imported/indigenous
Mill scale Indigenous
14 0.095
Purchase coke
15 0.2 Imported
 

03.07 BRIEF OUTLINES FOR RESOURCE UTILIZATION

Existing plant is having the rain water harvesting pond to store the 8000 KL of
water.

03.08 AVAILABILITY OF WATER AND ITS SOURCE, ENERGY


REQUIREMENT WITH SOURCE

(i) Water

Existing water drawl agreement from PWD source is 5 MGD. The present
requirement is about 3.17 MGD including steel plant and captive power plant
of 67 MW. Total fresh water requirement after expansion requirement is
about 4 . 4 M G D . The present storage capacity is about 20 days. After
expansion, including the additional storage will be for the captive consumption
for 12 days.)

(ii) Energy

Gas from the BF, will be used in sinter plant, VD boiler and reheating furnaces
in the mills. Excess gas would be used in the captive power plant.

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03.09 QUANTITY OF WASTE GENERATED (LIQUID AND


SOLID) AND SCHEME OF MANAGEMENT

(i) Wastewater generation

Wastewater generated in individual steel production facilities. It is


recommended that each of the production units will be designed to utilize
less amount of water and recycle the water to the maximum by cascading
use of water. There will be blow downs from each of the systems. It is
suggested that the blow down water be collected centrally and treated to
make the water usable in less critical applications like slag quenching,
green belt development etc.

All efforts will be made to re-use and re-circulate the water and to maintain
zero effluent discharge. The following schemes are proposed for
wastewater management comprising, treatment, recycling a n d disposal
systems.

(ii) Gas cleaning plant wastewater

The blast furnace gas cleaning scheme will be of the conventional


venturi type which have become the bench mark for similar application.
The effluent coming out of the wet scrubber will be contaminated with
high concentration of suspended solids. The slurry will b e clarified in the
clarifier, to recover clarified water for recycling into the wet gas scrubber
after cooling in the cooling tower. The sludge settled in the clarifier will be
pumped to the existing sinter plant as a feed material for making sinter. It
is suggested that the blow down water from the cooling water circuits will
be used as make-up water in the gas cleaning re-circulation systems.

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(iii) Treatment of billet caster effluent and mill effluents

This effluent will be contaminated mainly with suspended solids and traces of
oil. The effluent from the mill will be collected first in scale pit which is a large
settling basin to separate out the floating oil and settable iron scales. The
cleaned water is passed through sand filters to remove finer particles, and
then the water is recycled in the process. The backwash from the filters is sent
to the settling tank for removal of particulates. The settled sludge is sent to
sinter plant for agglomeration. It is planned that the blow down water from the
cooling water circuits will be used as make-up in direct contact re- circulation
systems.

(iv) Treatment of power plant effluent

The power plant effluent will be the backwash of DM water plant. This
effluent will be relatively free from solids and oil and thus the effluent will
be treated in a neutralizing pit for pH correction only. The neutralized
effluent will be stored in the treated effluent lagoon for reuse along with
cooling tower blow down in the direct cooling system.

(v) Use of cooling tower blow downs

It is noted, that the re circulating water in cooling towers gets contaminated


with the dust in the atmosphere, necessitating blow down. It is
recommended that all cooling towers to be provided with side stream
pressure filters to reduce the volume of blow down. The cooling
towers are designed to operate at high cycles of concentrations (>8) to
conserve water. Further, cooling tower blow downs of indirect cooling

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water system shall be used for slag quenching, as make up to direct
contaminated cooling water circuits and surplus if any, will be stored in
the treated wastewater lagoon for in- plant use.

The major solid waste expected to be generated from the various facilities
of integrated steel plant are provided in Table 3 - 13.

Table 3.3
Quantity of solid waste present and after expansion
Nature of Quantit Probable
Sl. No. Solid waste
solid y (t/d) reuse
Blast furnace t
1 Sinter BF return Sinter 178 Sinter plant
Steel melting shop
Road making
and 70kg/tonne
1 Slag Slag 732 of crude steel
will be used
Flume dust Sintering
2 dust 415
from bag filter plant

Continuous casting machine


Sintering
1 Scale and muck Scales 110
plant
Within the
2 Scrap - 266 steel plant-
DRI

Rolling mills
Within the
1 Scrap Scrap 103 steel plant-
DRI
Sintering
2 Scale and muck Scale 8.5
plant

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To be sold to
Oil and Oil and
3 0.3 authorized
grease traps grease
vendor
Broken
4 Reheat furnace refractories - Land filling
Coke oven plant
1 Coke breeze Dust 465 coke oven
Dust from bag Dust 31 Power plant/
2 filters coke oven

Captive power plant


Cement and
Ash including
1 Dust 316 brick
fly ash
manufacturing
Road
2 Bottom ash clinker 80
construction
Probable
Sl. No. Solid waste Nature of Quantity
reuse
solid waste (t/d)
Sold to
Lead acid batteries authorised
vendors
 

(vi) Solid waste management

About 90% of EOF slag will be used within the plant as road making and
ballast for railway track. BF slag will be granulated and it will be utilized in
captive cement plant.
 

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CHAPTER- 4
SITE ANALYSIS
4.1 CONNECTIVITY
The site is well connected by road and rail. The project site is located about
35 km South-West of Salem city. Mettur town is located at 12 km in SW
direction. NH 7 passing at 22 km away from plant site.

The nearest railway station is Salem at a distance of 35 km and nearest


airport is Bangalore at a distance of 200 km.

The road connectivity map of Salem is shown in Fig. 4.1.

Fig. 4.1 Road connectivity map of Salem

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4.2 LAND FORM, LAND USE AND LAND OWNERSHIP

The proposed project site is located within the existing facilities of JSW Steel
works Salem and the proposed area is plain land. The land earmarked for
expansion is neither vegetated nor having any buildings. Hence, site clearing
activities like clearing the vegetation or demolition exiting building are not
contemplated.

4.3 TOPOGRAPHY

The site is mostly flat. However the surrounding area is undulated with hills
and hillocks. The following reserve forests along with the directions with
respect to project site are observed in 15 km surrounding area.
i) Vanavasi Reserve Forest in SW
ii) Gonur and Solappadi reserved forest in NW
iii) Parigam reserved forest in N
iv) Ramasamy reserved forest in NE
v) Elattur reserved forest in ENE

No environmentally sensitive area is located nearby. The Stanley reservoir is


located in west direction. The important crops grown are paddy, groundnut,
fodder, sugarcane, maize, cholam, ragi, cumbu, cotton, and turmeric. The
main source of irrigation is from bore wells and dug wells.

4.4 EXISTING LAND USE PATTERN

The site is located in the interior part of Salem district, which is spread from
southwest to northeast and is situated on the eastern side of Tamilnadu state.
The district is 11° 14' and 12°53' north latitude and 77° 44' and 78° 50' east

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longitude. This district is bounded by Dharmapuri district on the north, Erode
district on the west, Namakal and Tiruchirapalli districts on the south, and
Perambalur and Villupuram districts on the east and the proposed project site
is not attracted by any other statutory act like CRZ. No national park, eco-
sensitive area are identified within 15 km radius study area.

4.5 EXISTING INFRASTRUCTURE

The site is well connected by road and rail. Presently the site is connected by
a metal road. The site is located at about 26 km from NH-7 which is passing
in eastern direction. The nearest railway station is Salem situated at about 35
km.
 

4.6 SOIL CLASSIFICATION

Site geology

Salem is located on the high grade Precambrian terrain of south India with a
network of shear zones of Neo to Early Proteorozoic age. The Salem-Attur
shear zone, an extension of Moyar-Bhavani shear zone passes through this
area. Charnockite, pyroxene granulite, magnetite quartzite, Khondalite, calc
granulite and younger granitoidare other rock units exposed in the area.

The district is endowed with rich mineral resources such as Magnesite,


Bauxite, Quartz, Felspar, Limestone, Soapstone, Dunite, Roughstone,
Granites. (Source-District website of Salem)

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Soil classification

The soils can be broadly classified into 6 major soils types viz., Red insitu,
Red Colluvial Soil, Black Soil, Brown Soil, Alluvial and Mixed Soil. Major part
of the district is covered by Red insitu and Red Colluvial soils. Block soils are
mostly seen in Salem, Attur, Omallur and sankari taluks. Brown Soil occupies
major portion of Yercaud and parts of Salem and Omallur taluks and the
Alluvial Soil is seen along the river courses in Omallur and Sankari taluks.
mixed soil is occurring only in Attur taluk. The proposed site is located on
black cotton soil.
 

4.7 Climatic data from secondary sources

The district receives the rain under the influence of both southwest and northeast
monsoons. The northeast monsoon chiefly contributes to the rainfall in the
district.

Rainfall data from six stations over the period 1901-2003 were utilized and a
perusal of the analysis shows that the normal annual rainfall over the district
varies from about 800 mm to 1600 mm. It is the minimum around Sankari (800
mm) in the southwestern part of the district. It gradually increases towards north,
northeast and east and attains a maximum around Yercaud (1594.3 mm) in the
northern part.

The district enjoys a tropical climate. The weather is pleasant during the period
From November to January. Mornings in general are more humid than the
afternoons, with the humidity exceeding 75% on an average. In the period June
to November the afternoon humidity exceeds 60% on an average. In the rest of
the year the afternoons are drier, the summer afternoons being the driest. The

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hot weather begins early in March, the highest temperature being reached in
April and May. Weather cools down progressively from about the middle of June
and by December, the mean daily maximum temperature drops to 30.2°C, while
the mean daily minimum drops to 19.2°C and 19.6°C in January in Salem and
Mettur Dam respectively. The Monthly rainfall (mm) & Humidity details are
provided below in Table 4.1.

Table 4.1
Monthly rainfall (mm) & Humidity

Name of the Station: Salem Year: 2010-2011


Mean Maximum Mean Minimum Humidity %
Normal Actual Normal Actual 8.30 17.30
Months
(2) (3) (4) (5) hrs. hrs
(6) (7)
April 2010 36.9 39.1 25.1 26.8 67 38
May 36.8 37.7 25.5 25.8 72 45
June 34.9 34.2 24.4 24.6 78 54
July 33.4 32.5 23.6 23.4 80 58
August 33.2 31.9 23.4 23.3 83 61
September 33.1 32.0 23.3 23.2 82 63
October 31.9 32.9 22.8 23.3 81 61
November 30.5 29.1 21.2 22.1 89 75
December 30.1 28.3 19.6 20.6 84 64
Jan 2011 33.1 31.3 19.2 19.7 78 43
February 33.7 32.4 20.2 20.3 73 40
March 33.7 35.5 22.5 22.2 71 30
Climatic data from secondary sources
Annual rainfall – 1185.4 mm
Temperature
Winter – 15.60C to 32.10C
Summer – 22.30C to 430C
Monsoon – 25.30C to 32.50C
Post monsoon – 19.30C to 32.40C
Average wind speed – 6.4 km/hr

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W STEEL LIMIITED
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TPA Integra ated Steel Plant
P at
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em, Tamilnnadu
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Pre-feasibil lity Report  
 
H
Humidity
W
Winter – 466 to 78%
S
Summer – 474 to 74%
M
Monsoon – 68 to 84%
P
Post Monsooon – 60 to 79%
7
S
Source: IMD D

Fig. 4.2
4 Wind rose
r of Se
ep. to Dec.. 2014 at plant
p site

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4.8 Social infrastructure available

Population

The total population of Salem dist. As on 2001 is about 30.16 lakh and
Mechieri block constitute about 10.87 lakh. The population growth rate during
2001 – 2011 is about 15.44% of salem district. The density of the population
of Salem is i.e., 665/sq. km The literacy rate of Salem is about 72.86 % as per
2001 census.
The Salem district is well supported with social infrastructure facilities like
Hospital (10 No’s), Dispensaries (14 No’s), Primary health centers (75 No’s),
Health sub-centers (348 No’s) and other medical institutions (20 No’s).



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CHAPTER - 5
PLANNING BRIEF
5.1 Planning concept

The plant will be located interior part of Salem district in Tamilnadu. Already
M/s. JSW has installed a steel plant of capacity 1.0 MTPA in the proposed
project site. The proposed project is an expansion project.

5.2 Population projection

Project will be creating considerable employment opportunities for local


people during construction phase. During recruitment preference will be given
to local as per employment guideline of the State. However, priority will be
given to the nearby village people after testing their skills and abilities. The
villages falling in the study area of 10 km radius are shown in the Table 5.1.
Table 5.1
Villages falling within 10km radius from the project site

Sl. No. Name of the Village


1. Mecheri
2. Karappatti
3. Pudu Kuttappatti
4. Kuttappatti
5. Ervadi
6. Palakkaranur
7. Kanakkappatti
8. Nangavalli
9. Malamanur
10. Kuvundanur
11. Amarattanur

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12. Errappareddiyur
13. Malaiyanur
14. Kudiraikkaranur
15. Mallamooppampatti
16. Chinna Seeragapadi

Source: Census of India 2011

5.3 Land use planning


The proposed site is admeasuring about 586.09 acres. The proposed land
use is as follows:

 Plant facilities – 42.9 acres


 Material handling conveyors – 2.7 acres
 Green belt – 29.7 acres
 Miscellaneous (Settling tank, Rain water harvesting) – 1.5 acres
 Open barren land for future use – 7.0 acres
 Approach roads inside plant boundary – 6.2 acres
Seismology
The site is located in zone II of seismic zoning map of India as per IS 1893-
2012 which associated with low seismic potential The detailed geological and
seismological investigations revealed that the site is outside the range of
capable fault within 5 km from the project site. The design basis seismic
parameters are evaluated based on geological seismological information.

5.4 Assessment of infrastructure demand

The proposed plant will be located near to Mecheri village. The project site is
fenced with compound wall. Inside the plant all the required infrastructure like
internal roads, water supply, storm water drains are already developed and

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the same will be expanded further to meet the expansion requirement.

5.5 Amenities/facilities

The site is well connected by road and rail. Presently the site is connected by
a metal road from NH-7. The site will be made physically isolated from the
surroundings by rubble masonry wall on all sides. Other physical protection
measures (security) have also been adopted for the site.



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CHAPTER - 6
PROPOSED INFRASTRUCTURE

6.1 Industrial area (Processing area)- Plant Site

The layout already shown will be spread over the acquired land of 586.09
acres in Mecheri block. The following are the existing/proposed construction
within the plant site.
 Coke oven
 Sinter plant
 Blast furnace
 Energy optimization furnace
 Laddle refining furnace & VD
 Continuous casting machines
 Rolling mills (Non flat)
 Oxygen and calcining plant
 Power plant
 Fire Station

Other Facilities: This includes Sewage Treatment Plants (STP), Effluent


Treatment Plant (ETP), Raw Water Treatment Plant (RWTP), Rainwater
Harvesting Pond, First Aid Centre, Diesel Storage yard, Security towers,
Chemical storage yard, all roads and storm water drains etc.

Overall layout of the proposed 1.3 MTPA ISP is shown in Fig. 6.1.

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Fig. 6.1 Overall layout of the proposed 1.3 MTPA ISP

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6.2 Residential area- township site

Township is not being planned for the proposed project.

6.3 Green belt

Under plantation programme, green belt will be developed around the plant
boundary. About 33% of the total land (193.4 acres) is proposed for green
belt plantation during the initial five years. The species to be grown in the
areas should be dust tolerant and fast growing species so that a permanent
green belt is created.
The plants having following characteristics are chosen for plantation.

 Ability to tolerate and remove air pollutants.


 Ability to grow in the area.
 Rapid rate of growth.
 Evergreen habit
 Large crown volume
 Small leaves with smooth surface
 Should not have adverse effects on soil chemistry and ground water.
 Have aesthetic value.

All these traits are difficult to get in a single species. Therefore a combination
of several species with all these traits is sought while planning a plantation.
The plantation should be planted close to the source or close to the area to
be protected to optimize attenuation within physical limits.
The areas that need special attention under plantation development are:

 Along plant boundary


 Along the side of roads

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JSW STEEL LIMITED
1.3 MTPA Integrated Steel Plant at
Pottaneri, Salem, Tamilnadu
  Pre-feasibility Report   
 
 Around offices and other buildings
 Stretches of open land at project site complex

The following species are having a better chance of survival in this region.
Plantations are done at a spacing of 2 x 2 m. The expected rate of survival
will be around 75%. The efforts to improve the survival of the saplings and
their healthy growth will be taken up like watering, fencing, keeping watch and
ward and seeking guidance from the local Forest Dept.

6.4 Drinking water management (source and supply of water)

Total fresh water requirement is 5 MGD. The source of the raw water is down
stream of river Cauvery. Water supply will be from the main supply line of
about 16 km.

6.5 Sewerage system

All effluent will be treated to meet the statutory norms and reused in the plant
to ensure zero discharge.
About 3.3 m3/hr of treated sewage will be generated from STP, and the same
will be used for green belt development.

6.6 Solid waste management

SMS slag will be initially dumped suitably and then will be used for road/paver
block, making/ballast for railway track after granulation. BF slag will be utilized
in cement plant.

Page 45 of 51
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JSW STEEL LIMITED
1.3 MTPA Integrated Steel Plant at
Pottaneri, Salem, Tamilnadu
  Pre-feasibility Report   
 
6.7 Power requirement and supply/ source

The average power demand of the plant is estimated to be 90 MW. Power to


the tune of 97 MW will be generated.
It is proposed to meet the entire requirement of electric power from the
captive sources taking the support of state electricity grid for stability.
Provision will be made to sell the surplus power if any through the grid.

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Page 46 of 51
  PRE FEASIBILITY REPORT 
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JSW STEEL LIMITED
1.3 MTPA Integrated Steel Plant at
Pottaneri, Salem, Tamilnadu
  Pre-feasibility Report   
 
CHAPTER - 7
REHABILITATION AND RESETTLEMENT
(R & R PLAN)

7.1 Rehabilitation and Resettlement (R & R) Plan

The project site of about 586.09 acres, which is located at Village M.Kallipatti
P.O, Pottaneri, Mecheri, Mettur-Taluk, Salem District, Tamilnadu state. The
plant site is already under the possession of JSW and no habitation exist in
the proposed plant site hence no R & R issues. The land area required for the
plant with associated common facilities with adequate screening distance
between the plant and the site boundary is available and hence land
acquisition or displacement of public is not envisaged. As a social
commitment from the company the R & R policy as mentioned in the earlier
EIA/EMP report is being followed.



Page 47 of 51
  PRE FEASIBILITY REPORT 
 2015 MECON Limited. All rights reserved
 
 
JSW STEEL LIMITED
1.3 MTPA Integrated Steel Plant at
Pottaneri, Salem, Tamilnadu
  Pre-feasibility Report   
 
CHAPTER- 8
PROJECT SCHEDULE AND COST ESTIMATE

8.1 Project schedule

The construction work is expected to commence in year 2015 on obtaining


statutory clearance and commissioning of the plant to reach the ultimate
capacity is expected in 2016.

8.2 Cost Estimate

The cost envisaged for pollution control and monitoring measures like
ventilation, air conditioning, are included in the capital cost. Cost towards
environmental monitoring facilities is additionally included. In the analysis of
capital cost, recurring cost is also included to know the yearly expenditure.
Other features which forms an integral part of the plant design like stacks, ash
handling equipment are not included in the analysis. Hence, constructions of
STP and other environmental measures like collection pits are included in the
analysis.

The estimated capital cost of the project is about Rs. 800 crores. A good
fraction of this expenditure goes towards pollution control measures. Table 8.1
gives the breakup of the cost for various control measures.

 In addition to those indicated in the table, there are a number of other


features, which forms an integral part of the plant design and
contribute to either save energy or to decrease the energy
consumption.

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JSW STEEL LIMITED
1.3 MTPA Integrated Steel Plant at
Pottaneri, Salem, Tamilnadu
  Pre-feasibility Report   
 
 Likewise, the costs of fire protection and physical protection measures
are not considered, although there may be secondary environmental
consequences due to fires or security lapses.
 The estimates of recurring costs include only the revenue expenses for
operating the respective facilities. The salary of staff and capital
depreciation are not included.

Table 8.1 Cost of pollution control and monitoring measures

Recurring Cost
Capital cost
Item per annum
(Rs. in Crores)
(Rs. in Crores)
Environmental Pollution Control
 Air pollution Control 10 1
 Water Pollution Control 20 2
(ETP & STP)
 Solid Waste Management 10 1
 Noise pollution 2 0.2
 Occupational health 3 0.3

Environmental and Pollution Monitoring


 Environmental Survey and 5 0.5
Sampling
 Social corporate 2 0.2
responsibilities
 Green belt development 0.5 0.05
Green belt development 52.5 5.25

           

Page 49 of 51
  PRE FEASIBILITY REPORT 
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JSW STEEL LIMITED
1.3 MTPA Integrated Steel Plant at
Pottaneri, Salem, Tamilnadu
  Pre-feasibility Report   
 
CHAPTER - 9
ANALYSIS OF PROPOSAL
9.1 GENERAL
Development of industrial projects does not necessarily have adverse impact
on the environment. There is always an associated beneficial impact. The
proposed project will fulfill the demand of nation’s special steel. The major
benefits that can be anticipated are in terms of (i) employment for the locals,
both in the skilled and the semi skilled category, (ii) increased opportunities for
education, (iii) development of infrastructure such as schools, hospitals and
roads and (iv) growth of small scale industries. Impacts from these are
generally difficult to quantify in a precise manner. Since the proposed project is
an expansion project there will not be any negative impact instead there will be
an infrastructural development of the area which will benefit the people
livelihood.

9.2 EMPLOYMENT AND ECONOMIC BENEFITS

The plant will provide substantial job opportunities for the locals and persons
from Mecheri and Salem. People belonging to nearby villages are likely to be
engaged everyday for outsourced works as contract labour in the project
activities.

In total, it is expected that indirectely around 2000 people will get benefited due
to this project. However, this numbers will be reached over a period of time as
per the progress of project. Needless to mention that, during the construction
phase of about 1 year, more number of people will get employment. 

Page 50 of 51
  PRE FEASIBILITY REPORT 
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JSW STEEL LIMITED
1.3 MTPA Integrated Steel Plant at
Pottaneri, Salem, Tamilnadu
  Pre-feasibility Report   
 
One can expect growth in the commercial activities commensurate with the
anticipated increase in population. Migration and urbanization of adjoining
areas also adds to the opportunities.

Transport and communication facilities will vastly improve. Besides the mass
transport by state run buses, availability of taxis and autos will grow
appreciably.

9.3 BENEFITS FROM WELFARE ACTIVITIES

As and when the proposed project is approved and the construction begins,
M/s. JSW would commit itself to spend Rs. 2.0 crores per annum for social
welfare projects. The amount would be spent for essential purposes like
Schools, medical aid, parks, shopping complex, training facility, supporting
water supply scheme to the nearby villages, roads and other amenities
.
9.4 RECOMMENDATION

The proposed project is likely to bring in additional benefits to the areas


surrounding the plant in terms of increase in the educational, health,
infrastructure and employment potential.

Like in any other project increase in the employment potential both direct as
well as through contractual labour would bring in additional income for the
people living around the project area.

Proposed project of JSW would also join and strengthen the ongoing social
welfare activities, contributing in terms of resource and manpower.

        

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