The government on Monday hit out at maharatna public sector undertaking Steel Authority of India Ltd (SAIL) for not completing its modernisation and expansion projects on time, resulting in a fall in production in 2011-12.
“I am not satisfied with the performance of SAIL,” said steel minister Beni Prasad Verma. “The modernisation plan was delayed and because of that production is down and costs have gone up. We have now asked them to prepare a time-bound plan and they have assured this will be done. I am hopeful that things would improve in this financial year but if it does not then we will take administrative action.”
Production at SAIL, the country’s largest steel producer, stagnated during 2011-12 at 14.1 million tonnes per annum (mtpa). The company, however, said its production would grow by over 30% this year.
“We encountered a lot of challenges this year but I am satisfied with our performance,” said C S Verma, chairman, SAIL.