The Cabinet Committee on Economic Affairs has approved the setting up of a uranium mine and a processing plant at Tummalapalle in Cuddapah district in Andhra Pradesh. Finance Minister P Chidambaram announced this on Thursday.
The mine and the processing plant will help meet the fuel requirement of nuclear power plants, the minister said. Chidambaram said the Uranium Corporation of India will set up the mine and the plant at a total cost of Rs 1106.29 crore.
Asked whether the mine or the plant was linked to the Indo-US nuclear deal, Chidambaram replied in the negative. “They are not linked at all,” he said, clarifying that this was a “processing” plant and not a “reprocessing” one.
The mine is likely to be commissioned within 30 months and the processing plant in 36 months, said Chidambaram.
Besides developing the area, the project would also provide direct jobs to 934 people in various categories, including employment to project affected persons.
The CCEA also gave its approval for the continuation of the concession scheme on the sale of de-controlled phosphatic and potassic fertilisers for 2007-08, with some modifications.
The Union Cabinet also the go-ahead to amendments to the Payment and Settlement Systems Bill, 2006. The cabinet also flashed the green light for the revival of NEPA Ltd through a joint venture partner in private sector by disinvesting Government of India's equity, preferably to the extent of 74 per cent or 100 per cent.