The governments of Telangana and Andhra Pradesh have not responded to requests from the Centre regarding incentives for setting up steel factories in Bayyaram and Kadapa. The Centre has sent multiple letters to both governments since 2017, but has not received any response.
According to an RTI filed by I Ravi Kumar, the Centre has held nine meetings and formed a task force with various ministries and companies to discuss the establishment of the steel plants. The last meeting took place on December 18, 2019, where the Telangana government mentioned considering Mahbubnagar as the plant location and exploring iron ore options from Bailadilla or Karnataka. However, no final decision has been made yet.
Kumar also mentioned that while the Centre is asking for a formal consultation on the feasibility of the project, some Central ministers and BJP leaders have stated that setting up a steel plant in Bayyaram may not be profitable or convenient. Despite this, political parties in both states continue to use it as a slogan during elections. Kumar believes that constructing a public sector steel plant would contribute to the economic development of the states without burdening the state governments.
