The impasse over JSW Steel's Salboni project in West Bengal is heading for a possible solution.

The matter is likely to be placed before the Chief Minister, Ms Mamata Banerjee, after her return from the Left Wing Extremist (LWE)-affected areas of the State, senior State Government officials, said.

While all necessary clearances to the project has been provided by the District Magistrate, JSW is awaiting the final nod from the Chief Minister.

“JSW's case will be taken up in a couple of days,” Mr Partha Chatterjee, West Bengal Commerce and Industries Minister, told Business Line on Saturday. He was speaking on the sidelines of a seminar, ‘Rising Bengal – The Land of Opportunities,' organised by the Associated Chamber of Commerce (Assocham ).

Land ceiling

JSW Steel Ltd's plans to construct a Rs 35,000-crore integrated steel plant at Salboni in West Bengal ran into rough weather with the State Government, after it was revealed that the company had acquired land above the specified limit. The Land Ceiling Act imposes restrictions on holding more than 24 acres in rural Bengal. The industry is exempted from the ceiling, subject to approval of the State Government.

According to JSW officials, the company had directly acquired 296.6 acres out of a project area of 4,334 acres, but failed to notify it under Section 14Y of the Land Reforms Act, 1955. The company, however, is in possession of the remaining land.

Following a meeting with the Chief Minister and State Commerce and Industry Minister on September 10, Mr Sajjan Jindal, Vice-Chairman and Managing Director, JSW Steel, had announced that the project would begin after Durga Puja.

When contacted, Mr Biswadip Gupta, Managing Director of JSW Bengal, said the State Government has been provided with all necessary documents in this regard. “Work will start once the State Government has given clearances,” he said.