The delays in developing the Machhakata coal mine in Odisha may hit the power generation capacity of Maharashtra and Gujarat by nearly 6,000MW, of which 3,890MW belongs to MahaGenco, the state power generator.
The delays in developing the Machhakata coal mine in Odisha may hit the power generation capacity of Maharashtra and Gujarat by nearly 6,000MW, of which 3,890MW belongs to MahaGenco, the state power generator.
The Machhakata and Mahanadi (also in Odisha) coal blocks were allocated to MahaGenco and the Gujarat State Electricity Corporation Limited (GSECL) in 2006 and a joint venture company—MahaGuj Collieries — formed to develop them. But, with the coal production deadline of August 2009 having been overshot, officials fear the power production will be hit, give that coal-based units in the state are expected to be commissioned only from May 2013 onwards. The coal was to fire 3,890MW installed capacity in Maharashtra (of which 3,230MW is under implementation) and 2,100MW in Gujarat. Additional production from Machhakata was to be used for proposed 1,980MW Dhopawe power plant in Maharashtra.
Information available with DNA has revealed that milestones like obtaining forest clearances, execution of the mining lease and completion of land acquisition are yet to be achieved, which officials admit will make it tough to meet the revised coal production date of 2013 October-end.
The ministry of coal has served a show cause notice to the utilities, pointing out overshooting of the schedule, and questioned why action for de-allocation of the coal block should not be taken. While requesting the coal ministry to “consider the local circumstances in Odisha and allow us to keep the extension in commencement of coal production up to October 2013”, MahaGuj has stated that about 4,500MW projects based on the Machhakata coal were in their advanced stages. If the block is de-allocated, Rs25,000-30,000 crore investment will be in jeopardy, it said.
Admitting to the delays leaving the states with stranded capacity, MahaGenco managing director Subrat Ratho, also the MahaGuj CMD, said the contingency plan was to import coal and to divert coal from the existing vintage generating units. Pointing out that shutting down old units and diverting their coal meant that despite new generation capacity being added, the power generation would be the same, a senior MahaGenco official said the capacity addition at the 2,640MW power plants at Dondaicha and Nashik would be linked with coal from the Mahanadi block.
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
)
)
)
)
)
)
)
)
)
)
)
)
)
)
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
)
){kind=small}
){kind=small}
)
)
)
)
)
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}