Monday, September 8, 2008

Tata unhappy with Singur deal

Tata unhappy with Singur deal
8 Sep 2008, 1350 hrs IST,AGENCIES

MUMBAI: Tata Motors on Monday said that the deal on Nano project in Singur lacks clarity. ( 
Watch 

The company said it would only review its position in the plant for the low-cost Nano car, where work was suspended last week, if it was confident that the viability of the project was not impinged. 

Tata Motors said it was "distressed" at the limited clarity on the outcome of talks between the government of West Bengal, where the Nano plant is located, and protesters who had caused disruptions. 

"Tata Motors is obliged to continue the suspension of construction and commissioning work at the Nano plant," it said in a statement. 

"We will review our position only if we are satisfied that the viability of the project is not being impinged, the integral nature of the plant and ancillary units are being maintained and all stakeholders are committed to developing a long-term congenial environment for smooth operations of the plant." 

Earlier on Monday, no employee of Tata Motors or its contractors entered the factory in Singur, the day after an agreement was reached to lift the siege on it. 

The factory in West Bengal Hooghly district is about 40 km from here. 

West Bengal Governor Gopalkrishna Gandhi had on Sunday mediated a pact between main opposition Trinamool Congress and the state government over the disputed farmland acquired for the project. ( Watch 

After the long-standing imbroglio was resolved on Sunday night, Trinamool chief Mamata Banerjee called off her 15-day-long siege of the plant. 

Tata Motors, which is building a factory for the world's cheapest car priced at Rs 100,000 ($2,500) in Singur, last week stopped work indefinitely at the project site following an agitation by farmers led by opposition parties. The farmers, protesting against land acquisition, laid siege to the factory and even assaulted its employees. 

As per Sunday's agreement that ended the siege, the state government will form a committee to look into the affected farmers' demands. It will give its report in seven days. Till then the construction of the ancillary units will be on hold, said Gandhi, with state's Chief Minister Buddhadeb Bhattacharjee and opposition party chief Mamata Banerjee at his side. 

The agreement said the government "has taken the decision to respond to the demand of those farmers who have not received compensation, by means of land to be provided to the maximum within the project area and the rest in adjacent areas as early as possible". 

"Towards this, a committee will be constituted to ascertain the scope and settle the modalities within a period of one week. During this time, the government will urge the vendors not to make any construction," according to the text of the pact inked by Industries Minister Nirupam Sen and Leader of Opposition Partha Chattopadhyay.

No comments: