Wednesday, 07 Dec 2011
Live Mint reported that the empowered group of ministers on so called ultra mega power projects on Monday decided to refer to attorney general Goolam E. Vahanvati the issue of allowing Reliance Power Ltd to divert surplus coal from captive coal mines associated with one of its projects to other plants owned by it.
Mr Sushil Kumar Shinde power minister said that “We have discussed the issue and the matter will be taken to the attorney general for legal opinion.”
This follows the Comptroller and Auditor General of India questioning a ministerial group’s decision to allow such diversion by the Anil Ambani controlled Reliance Group firm.
After the attorney general submits his opinion, the eGoM will meet again to decide on the issue. The Monday meeting was presided over by finance minister Pranab Mukherjee and was attended by law minister Salman Khursheed, coal minister Sriprakash Jaiswal, Shinde and deputy chairman of the Planning Commission Montek Singh Ahluwalia.
A spokesperson for Reliance Power declined to comment.
Mint reported on 28 September that CAG was looking into an earlier eGoM decision to allow Reliance Power to use coal meant for the Sasan project in Chitrangi, both located in Madhya Pradesh. Reliance Power is committed to selling power generated at Sasan at INR 1.19 a unit while it plans to charge INR 2.45 a unit for power produced by its proposed 4,000MW plant at Chitrangi.
(Sourced from Livemint)
Showing posts with label mega power projects. Show all posts
Showing posts with label mega power projects. Show all posts
Wednesday, December 7, 2011
Indian EGoM refers coal diversion issue to attorney general
Thursday, March 3, 2011
Limited availability of coal could trip mega power plans in India

Thursday, 03 Mar 2011 By ET
An acute shortage of domestic coal is threatening to destabilize new power generation projects in which developers have already invested an estimated INR 75,000 crore.
A senior official with the power ministry told ET that "New capacity of about 15,000 MW is likely to be stranded for want of coal. This capacity is enough to light up three states bigger than Delhi.”
Coal India Limited had promised to supply 92 million tonnes of fuel to these projects, most of which were expected to be operational over the next one year. But the state run firm now says it can deliver only 13 million tonnes. The available coal, which needs to be blended with imported coal before it is ready for use by generating companies, could produce barely 3,000 MW of power.
The official added that "Coal India has indicated that availability for power utilities is likely to be 319 million tonnes only. Of this, fuel supply agreements have already been signed for 306 million tonnes generating units commissioned up to March 31st 2009.”
The official added that "There is coal available at pit head locations, which is not being mined out due to inefficiency of Coal India and its subsidiaries.”
Power project developers on Tuesday called on the Central Electricity Authority to raise their concerns over the fuel supply issue but the authority said it could not do much.
A CEA official said that "We are helpless as Coal India has indicated that there is no coal for new projects.”
The coal ministry official said CIL production would not improve unless the environment ministry clears the hurdles for mining projects. He said more than 150 mining projects of Coal India are awaiting clearance from the environment ministry. These projects have a coal production potential of 210 million tonnes.
Experts say importing coal will also not solve the problem for new projects as there is a limit to which Indian boilers can use imported coal.
Imported coal has higher heat value as compared with domestic coal and it is believed that it also corrodes boiler parts and emits more smoke when used in Indian boilers over longer period.
Thursday, February 24, 2011
Limited availability of coal could trip mega power plan

Wed,Feb23, 2011
The Economic Times reported that, an acute shortage of domestic coal is threatening to destabilize new power generation projects in which developers have already invested an estimated Rs75,000 crore.
"New capacity of about 15,000 Mw is likely to be stranded for want of coal," a senior official with the power ministry told ET. This capacity is enough to light up three states bigger than Delhi.
Coal India Limited had promised to supply 92 million tonnes (mt) of fuel to these projects, most of which were expected to be operational over the next one year. But the state-run firm now says it can deliver only 13mt. The available coal, which needs to be blended with imported coal before it is ready for use by generating companies, could produce barely 3,000 Mw of power.
"Coal India has indicated that availability for power utilities is likely to be 319mt only. Of this, fuel supply agreements have already been signed for 306mt generating units commissioned up to March 31, 2009," the official said.
"There is coal available at pit head locations, which is not being mined out due to inefficiency of Coal India and its subsidiaries," he added.
Power project developers on Tuesday called on the Central Electricity Authority (CEA) to raise their concerns over the fuel supply issue but the authority said it could not do much.
"We are helpless as Coal India has indicated that there is no coal for new projects," a CEA official said.
The coal ministry official said CIL production would not improve unless the environment ministry clears the hurdles for mining projects. He said more than 150 mining projects of Coal India are awaiting clearance from the environment ministry. These projects have a coal production potential of 210mt.
Experts say importing coal will also not solve the problem for new projects as there is a limit to which Indian boilers can use imported coal.
Imported coal has higher heat value as compared with domestic coal and it is believed that it also corrodes boiler parts and emits more smoke when used in Indian boilers over longer period.
Supply of coal by CIL to power utilities over the past few years has been falling short of requirement for the electricity generation targets. The utilities had reported a loss of 10.9 billion units in 2008-09, 14.5 billion units in 2009-10 and 5.3 billion units between April 2010 and December 2011.
"New capacity of about 15,000 Mw is likely to be stranded for want of coal," a senior official with the power ministry told ET. This capacity is enough to light up three states bigger than Delhi.
Coal India Limited had promised to supply 92 million tonnes (mt) of fuel to these projects, most of which were expected to be operational over the next one year. But the state-run firm now says it can deliver only 13mt. The available coal, which needs to be blended with imported coal before it is ready for use by generating companies, could produce barely 3,000 Mw of power.
"Coal India has indicated that availability for power utilities is likely to be 319mt only. Of this, fuel supply agreements have already been signed for 306mt generating units commissioned up to March 31, 2009," the official said.
"There is coal available at pit head locations, which is not being mined out due to inefficiency of Coal India and its subsidiaries," he added.
Power project developers on Tuesday called on the Central Electricity Authority (CEA) to raise their concerns over the fuel supply issue but the authority said it could not do much.
"We are helpless as Coal India has indicated that there is no coal for new projects," a CEA official said.
The coal ministry official said CIL production would not improve unless the environment ministry clears the hurdles for mining projects. He said more than 150 mining projects of Coal India are awaiting clearance from the environment ministry. These projects have a coal production potential of 210mt.
Experts say importing coal will also not solve the problem for new projects as there is a limit to which Indian boilers can use imported coal.
Imported coal has higher heat value as compared with domestic coal and it is believed that it also corrodes boiler parts and emits more smoke when used in Indian boilers over longer period.
Supply of coal by CIL to power utilities over the past few years has been falling short of requirement for the electricity generation targets. The utilities had reported a loss of 10.9 billion units in 2008-09, 14.5 billion units in 2009-10 and 5.3 billion units between April 2010 and December 2011.
By Economic Times
Monday, January 24, 2011
Ernst and Young suggest UMPP model for steel plants in India
Monday, 24 Jan 2011
Ernst and Young said that India should look at setting up ’mega steel plants’ on the lines of 4,000 MW ultra mega power projects being built in the country to accelerate growth in the decade.
Mr Anjani Agrawal partner and metals & Mining leader with E&Y said that “The model for ultra mega power projects can be adapted to set up mega steel projects. We should get all stake holders together, conduct techno commercial studies to identify specific locations for the large plants, just as we did for UMPPs.”
He said that E&Y has been floating the idea to address the challenge of slow capacity addition in India as the country has been a net importer of steel since 2007.
Mr Agrawal said that just like UMPPs, government can set up Special Purpose Vehicles, while giving all the licenses, clearances and linkages unto it and then auction the SPV on the lines of recently done 3G spectrum bidding.
Mr Agrawal, however, refused to comment on what should be the plant size in India to be considered as mega. He said “This is an idea which appears viable, needs to be applied in the right earnest and with due sensitivity. We thought big for power sector through UMPPs. Now it is time to think something similar for steel.”
Mr Agrawal further said that the “money raised through auction must be applied inter alia, to build enabling physical and social infrastructure as well as capacity building of related communities in a sustainable manner.”
(Sourced from PTI)
Ernst and Young said that India should look at setting up ’mega steel plants’ on the lines of 4,000 MW ultra mega power projects being built in the country to accelerate growth in the decade.
Mr Anjani Agrawal partner and metals & Mining leader with E&Y said that “The model for ultra mega power projects can be adapted to set up mega steel projects. We should get all stake holders together, conduct techno commercial studies to identify specific locations for the large plants, just as we did for UMPPs.”
He said that E&Y has been floating the idea to address the challenge of slow capacity addition in India as the country has been a net importer of steel since 2007.
Mr Agrawal said that just like UMPPs, government can set up Special Purpose Vehicles, while giving all the licenses, clearances and linkages unto it and then auction the SPV on the lines of recently done 3G spectrum bidding.
Mr Agrawal, however, refused to comment on what should be the plant size in India to be considered as mega. He said “This is an idea which appears viable, needs to be applied in the right earnest and with due sensitivity. We thought big for power sector through UMPPs. Now it is time to think something similar for steel.”
Mr Agrawal further said that the “money raised through auction must be applied inter alia, to build enabling physical and social infrastructure as well as capacity building of related communities in a sustainable manner.”
(Sourced from PTI)
Labels:
mega power projects,
mega steel plants
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