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UPL plant fire: Gujarat Govt orders closure of plant

Our Burea Ahmedabad | Updated on February 23, 2021 Published on February 23, 2021

Picture of the fire at UPL's Jhagadia plant in Gujarat

Company directed to pay ex-gratia compensation after two lives are lost; five are still missing

The Labour and Employment department of Gujarat Government on Tuesday issued a closure notice to UPL Ltd (United Phosphorus Ltd) after a blast and major fire that reportedly claimed two lives and injured 20 others. A government communique, quoting reports, stated that five labourers were missing after the blasts.

“The fire had erupted after a blast in the factory in the early hours of Tuesday. Around 20 persons were injured and so far two fatalities have been confirmed and five laborers are missing,” said reports. “Injured laborers were sent to Surat and Vadodara Hospitals,” said a statement issued by the Gujarat Government’s labour and employment department.

Soon after the blast, the officers of State’s Director Industrial Safety and Health (DISH) had rushed to the spot and issued a closure order to UPL’s plant at Jhagadia unit. “We have issued a closure order to the facility so that more lives are not put at risk. We will review the safety aspects,” PM Shah, Director DISH said.

The cause of the fire has could not be immediately known. The senior officials from Bharuch district confirmed two fatalities and five missing. “The fire has been brought under control. The search for the missing persons is on but the heat of the debris is making it difficult. Tomorrow we will have Assistant Director – Chemicals from Gujarat government inspect the site and analyse the cause of the fire,” the official told BusinessLine.

Vipul Mittra, Additional Chief Secretary (ACS) - Labour and Employment department, Government of Gujarat, said, “Safety is most priority in the industries. All Industries better adherence with worker safety norms, and overall improvement in safety standards.” He also stated that the UPL Ltd has been directed to pay ex-gratia compensation of each to the next of kin of the deceased workers.

In its statement to the stock exchanges soon after the blast, the chemicals major, UPL Limited had informed that there were no fatality from the incident.

“21 people received treatment at the local hospital and 13 are already discharged with minor treatment. There is no fatality reported,” UPL’s exchange filing said on Tuesday.

Locals informed that a massive blast was heard from the plant site which was followed by the fire and heavy smoke from the plant. After losing by over 3 per cent in early trades on Tuesday, UPL shares ended 5 per cent up at ₹566.50 on BSE.

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Published on February 23, 2021
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