Telangana Minister for IT and Industries, K T Rama Rao said the government was strongly committed in reviving sick industries in the state.
As part of it, the government has considered revival of sick unit M/s Bheema Cements plant situated at Suryapet district ( previously Nalgonda district under erstwhile Andhra pradesh), which was closed and non-operational from March in 2014 due to disconnection of power supply by Electricity Department for for non-payment of bills, the Minister told reporters here.
The Government, keeping in view of the recommendations of Cabinet Sub-Committee, considered revival of M/s.Bheema Cements Ltd by offering interest free monthly installments for clearing of dues to commercial tax department, Electricity department and Mines department., the Minister informed and said the government asked the company to resume operations immediately.
In the light of revival, the company assured to commence operations and production immediately and in the process generate 1000 jobs directly and indirectly) and further assured for a annual turnover of Rs.350 Crores in addition to the value-addition to the State Exchequer.
The company was holding 3 mining leases for Limestone in Ramapuram and Vepalamadhavaram Villages of Mellacheruvu Mandal, Suryapet District.
The company established a cement plant at Ramapuram village, Mellacheruvu Mandal, Suryapet District in 1986 with an installed capacity of 2.00 Lakh tonnes per annum and subsequently in 2010 expanded to 9.00 Lakh TPA (Tonnes Per Annum).
Bheema Cements Ltd took up expansion of cement plant by investing additional Rs.15.00 Crores in 2010 and also incurred expenditure of Rs.12.00 Crores for construction of under passage bridge for the conveyor from mines to factory.
In the process, due to hectic power shortage in 2013-14 in the erstwhile State of A.P (prior to reorganization) and market for cement was sluggish, the company incurred financial losses including Sales Tax Department dues ( Rs.17.14 Crores), Mines Department (Rs.4.66 Crores) and Electricity Department ( Rs.12.60 Crores)
Due to non-working of mining leases, violation of lease deed conditions and mineral revenue dues, the Mines and Geology Department recommended for declaring the mining leases as lapsed, the Minister added.
After formation of Telangana State, Chief Minister K Chandrashekhar Rao announced entrepreneur friendly and country-wide applauded industrial reforms, generation of surplus power, encouraging industrial policy (TSiPASS) and with vide scope for industrial growth, the Government considered revival of the sick unit Bheema Cements Ltd which stopped operations prior to formation of Telangana State.
On revival of the company, there will be augmentation of revenue and value-addition to the Government and also generation of employment directly and indirectly.