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June 2, 2010

Press Note Date : 02/06/2010 ENG Reg. NANO

OFFICE OF THE LEADER OF OPPOSITION

Gujarat Vidhansabha, Gandhinagar.

 

Press Note                                                                                      2nd June, 2010

  • Gujarat government should declare details of benefits to Tata’s Nano project and employment to Gujaratis in the project.
  • There is investment of Rs. 2900 crore in the project while Gujarat government has given loan of Rs. 9570 crore to the project.
  • Loan is at 0.1 per cent interest and that too interest to start after 20 years.
  • 1100 acre land given to Nano near Ahmedabad at a throw away price.
  • Farmers of Sanand have problems because of the project while Chief Minister is enjoying hospitality with Tata.
  • Government’s decision not to offer benefits of Nano to other industrialists shows foul play in the deal.
  • Congress is not against industrialization, but it does want industrialists to rake money at the cost of Gujarat.

Gujarat government should come out with facts of shady deal of Nano project in the interest of Gujarat. Exposing the government, Leader of Opposition in the Assembly, Shaktisinh Gohil said that Congress had always welcomed industries coming to Gujarat. But, he said, it is deadly against benefits to industrialists at the cost of Gujarat.

Pointing out that the employment policy of the state requires recruitment of 85 percent of local staff in labour and others and 60 per cent in the managerial and supervisory staff. Nano project has been exempted from these provisions which was against the interest of local people. Government should come out with details of the employment of local people, he demanded.

Farmers of Sanand are demanding justice on the issue of land to Nano. Government should take a stern view of this and should not adopt lenient view for Tata, he demanded.

Tata is going to invest only Rs. 2900 crore in the entire project. As against this the state government has given Rs. 9750 crore loan that amounts to 330 percent. And that too at a minimal interest rate of 0.1 percent. The repayment of the loan will start after 20 years. Tata has been given total exemption from registration fees, stamp duty and transfer charges of the land on which the project is built.

The state government has given 1100 acres of land worth crores of rupees near Ahmedabad to Tata and has transferred all rights, even marketable rights to Tata. The government which talks about cow worship has given away the land reserved for setting up cow preservation university to Tata. The state government has still not taken the token price of the land from the Tata.

The state government has also taken the responsibility to construct two 4 lane road to the project site. Besides, the state government has also assured all help to Tata for railway siding, loading plant, fencing and other necessary logistics. The state government has also agreed to provide 200 KVA double circuit power supply and 50 MVA power supply from 4MVA and 11 KVA double circuit line to the project receiving station. The state government will also set up 11 sub stations of 66 KVA near the project side.

The state cabinet has also decided to provide 14,000 cubic litres of water daily for the project. The state government has also taken upon the responsibility to provide facilities to Tata for disposal of its polluted water. The government has not stopped from this. It has also decided to give 100 acres of land near Ahmedabad to Tata for its township. The state government has also offered legal assistance to Tata and all this at the cost of its own interest. As per para no.11 of the agreement there would be arbitration no legal proceedings in case of any dispute.

Even after giving unimaginable benefits to Tata the state is at the receiving end, he said. The state government had kept all this information very secret and it was difficult for enlightened citizens to get information under the RTI. Ultimately a note having details given by the cabinet and the GR regarding facilities to Tata has been obtained.  

          Armed with facts obtained from government under the Right to Information, Gohil said that if the policy to give benefits to Nano is to welcome industry in Gujarat then similar benefits should be given to others like Mercedes and Maruti. However, he said, government has made it clear that these benefits would not be given to anyone else.

This is not a policy to bring industry to Gujarat. It is for the industry which grows at the cost of Gujarat and interest of its people because it does not give employment to Gujaratis according to the employment policy of Gujarat.

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Pl. Click here for Notes of the cabinet and GR about benefits to Nano projects.