The Hindu Business Line : Uncertainty over Tadri ultra mega power project

Confronted with mounting opposition from environmentalists and reservations from the Indian Navy, the proposed 4,000-MW Tadri ultra mega power project is faced with uncertainty.

Opposition from the greens stemmed from concerns over potential damage to the Aghnashini Estuary in the region recognised as one of the world's environmental hotspots.

The Navy's reservations on the power project site were in view of Tadri's proximity to the Western Naval Command's base in Karwar, Project Seabird.

Tadri is about 40 km south of Karwar, where the naval base is still under construction. Moreover, NPCL's Kaiga nuclear power plant is also in the vicinity.

Expressions of interest floated for the project a month ago saw as many as 20 applicants.

These included power sector biggies led by NTPC Ltd, Larsen & Toubro, Reliance Energy and Tata Power.

Others in the fray include Sterlite Industries Ltd, Tata Power, Aditya Birla Group, Gammon India, Madhucon, Videocon Industries Ltd, Ashok Leyland, Essar Power, Torrent Power, Sumitomo, Itochu, Lanco Infratech Ltd, Navbharat Ferro Alloys Ltd, Khanjee Holdings, KSK Electricity Financing India Pvt Ltd, BSCPL-SCL-CR18G consortium and the BSCPL-SCL joint venture.

The concerted opposition has triggered moves to find alternative locations in Karnataka.

Alternative location

One option, the sources said, was to locate the project in Mangalore.

This was in the vicinity of the Mangalore Port Trust and the site that was originally allocated to Cogentrix/China Light & Power for their 1000 MW project. In this location Karnataka Industrial Areas Development Board possesses about 1000 acres of land, sources said.

Besides, both CLP Power and Cogentrix had obtained clearance from the CEA and the Ministry of Environment for setting up the project, before pulling out for want of a counter guarantee from the Centre.

However, Karnataka's Principal Energy Secretary, Mr Dilip Rau, said that it was too early to decide on any relocation of Tadri.

He said, "Any such decision can be taken only after the Environmental Impact Study is made and the State Pollution Control Board makes an assessment."

The project is still in the incipient stages and a detailed project report would have to be prepared by the special purpose company that would be formed for the project.

Tadri is already a minor port. However Mr Rau said, "The port channel would require major dredging for ensuring passage of large bulk carriers."

The proposed ultra mega project's feedstock requirement was estimated at close to 15 million tonnes of low ash coal with a calorific value of 6,000 kilo calories per kg. This was expected to be sourced from Australia or Indonesia.

The uncertainty over the project comes as blow to the Centre. Already the Centre has initiated the process of moving another ultra mega project proposed in Chhattisgarh to a location outside the State.

This comes in the wake of claims made by the Chhattisgarh administration to 12 per cent free power entitlement from the project and a total allocation of generation worth 3,500 MW out of the 4,000 MW-capacity of the project.

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