December 02, 2008

Global Steel seeking sops from Philippine government

Local media reported that Global Steel Philippines Inc is seeking more support from the government by way of lower power rates to push through with its proposed USD 1.6 billion integrated steel plant project in the country.

Mr Lalit Kumar Sehgal MD of Global Steel told reporters during the inauguration of its re opened steel plate mill in the company’s manufacturing complex in Iligan City over the weekend that government policy must pamper foreign investments.

He added that “Whenever a company puts up an integrated steel facility, government must also do its part. We are looking at the power rates and supply as well as the long-term policies of the country.”

Mr Sangram Mohanty vice president for corporate communications of Global Steel said that it was all about government putting in place an enabling platform to make our planned investments a reality.”

He said the company had been in constant talks with the Board of Investments and the Environment Department to see “how we can all work together.”

Mr Sehgal also in meetings with the investments board said that the company identified the various problematic areas of concern to the company. He cited that the company pays over PHP 50 million in its monthly electric bill. He said the company was seeking preferential rates being one of the biggest power users in Mindanao.