Gujarat's mega power project sites face environmental hurdles

NEW DELHI: Gujarat may have to be content with just one 4,000 mw ultra mega power project as the two other sites offered by the state for building such projects have not been found feasible by the power ministry due to environmental reasons. The state had identified two sites - one near Junagarh and another near Jamnagar-for setting UMPPs of 4,000 mw capacity each.

"Junagarh is not possible, as it is near the Gir Forest area, and as far as Jamnagar is concerned, it is near the limestone mines and we have to receive permission from the Gujarat State Mining Corp," a power ministry official said. "These two projects look unlikely....but let's see," he added.

At present, the country's largest private power producer, Tata Power, is executing the 4,000 (800x5) mw UMPP at Mundra in the state.

The first 800 mw unit of this coastal project is expected to be completed during the current 11th Plan period (2007-12).

Power Finance Corporation (PFC), the nodal agency for these kind of projects, has already awarded four projects to the successful bidders. Reliance Power bagged three of the allotted four projects at Sasan (Madhya Pradesh), Krishnapatnam (Andhra Pradesh) and Tilaiya (Jharkhand) while the Tatas won the Mundra project.

The government, which plans to add 1,00,000 mw of electricity in the upcoming 12th Plan period (2012-17), is relying on the contribution from these UMPPs. These projects are likely to be commissioned over a period of 4-5 years from now.

The invitation of preliminary bids for the two proposed projects at Bedabahal (Orissa) and Sarguja (Chhattisgarh) are stuck because of lack of environment clearance for the coal blocks allotted to the projects. Therefore, the power ministry would not finalise any other site in any other part of the country without obtaining the mandatory approvals from the respective authorities.