Big success for Tata Steel, Rishi Sunak's government will give Rs 5100 crore - Newztezz Online


Saturday, September 16, 2023

Big success for Tata Steel, Rishi Sunak's government will give Rs 5100 crore

A big deal has been signed between Tata Steel and the British Government. 
The government of British Prime Minister Rishi Sunak has agreed to give 50 crore pounds (about Rs 5145 crore) to Tata Group. The UK government wants to reduce pollution levels and has asked Tata Steel to decarbonise its Welsh site, one of the UK's largest steel plant sites, but Tata is reluctant to do anything without the government's help. Had raised hands.

Now Tata Steel and the British government will convert this steel plant into a low carbon emission plant. The cost of this entire project will be around Rs 13,000 crore. About Rs 7700 crore will be invested in this by Tata Steel. Currently, coal burning furnace is used in this plant, which causes a lot of pollution. Now Tata Steel will use electric furnace instead.

3000 jobs will be at risk

This step by Tata Steel UK and the British government will reduce the pollution level, but it will have a big impact on the employment there. About 8,000 people work in Tata Steel's UK factory. Due to electrification of the factory, employment of about 3,000 people will be reduced, because less labor is required in electric furnace.

However, Britain's Business and Trade Minister Kemi Badenoch says that this investment by the government will save the jobs of 5,000 people in Britain. Without this investment, we would have had to close the Port Talbot site in Wales and perhaps there would have been an end to steel production in the country. Now, thanks to this investment, the carbon emissions of the entire country will decline by about 1.5 percent.

Tata had refused

India's Tata Group had clearly refused to the British government that without government help it would not be able to transfer this plant from fossil energy to green energy. Instead, it would prove more favorable for it to stop making steel in the country. After long negotiations, the government has now agreed to invest in the Tata Group plant.

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