RFCL revival gains momentum

November 02, 2017 11:45 pm | Updated 11:45 pm IST - Peddapalli

Work on the revival of Ramagundam Fertilizers and Chemicals Limited (RFCL), which was earlier run by the Fertilizer Corporation of India (FCI), has gained momentum with the State Government releasing its 11 % share of ₹144.48 crore recently.

The civil works and construction of main plant, urea plant tower, ammonia and nitrogen tanks, water tanks and beautification of the old FCI township in Ramagundam to provide accommodation to the staff, among others, were going on at a brisk pace.

Gas pipeline

On the other hand, the work is fast progressing on the laying of pipeline for the supply of gas from the Mallavaram field in Andhra Pradesh. The 18-inch wide pipe was being laid at about a depth of one-and-a-half meter to enable the farmers to cultivate their crops without damaging the pipe. A pump house at every 30 kilometer distance to monitor the supply of gas is also being set up. It may be recalled that the GSPL India limited, a subsidiary of Gujarat State Petronet Limited (GSPL) signed a gas transportation agreement (GTA) with RFCL last year to supply 2 million metric standard cubic meters per day (MMSCMD) of natural gas for a period of 20 years. The GITL would transport about 2 MMSCMD of gas from Mallavaram field to RFCL’s plant in Ramagundam through the Mallavaram, Bhopal, Bhilwara, Vijaipur gas pipeline.

The RFCL is being revived jointly by the National Fertilizers Limited (NFL) and Engineers India limited (EIL) at a cost of ₹5,600 crore. The NFL and EIL each has 26 % share. The Fertilizer Corporation of India Limited and the Telangana government hold 11 % each.

The state government allocated 0.55 tmcft water from Sripada Yellampalli project to RFCL and power supply from the Singareni Jaipur thermal power plant. Presently, the government is providing power at subsidy of ₹1 per unit for the execution of all the work.

Though, the project was taken up in 2015, it was delayed due to various reasons. Initially, it was decided to take up the project at a cost of ₹ 4,694 crore. But due to delay, it had escalated to ₹5,600 crore. The project secured environmental clearance in 2015 after conducting public hearing. The foundation for the project was laid in 2016 by Prime Minister Narendra Modi during his visit to Gajwel of erstwhile Medak district.

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