Companies

MoEF defers nod for Suryachakra power plant in M.P.

PTI Hyderabad | Updated on March 12, 2018

In a setback to Suryachakra Power Venture, the Ministry of Environment and Forests has deferred clearance for 1,320 MW coal-based power plant being developed by the company in Madhya Pradesh.

Suryachakra Power Venture is a subsidiary of BSE-listed Suryachakra Power Corporation Ltd.

This is the third city-based enterprise that faced the heat of MoEF. Last year, the MoEF had cancelled the environmental clearance, issued to Nagarjuna Constructions (NCCL) for its proposed 2,640 MW power plant in Srikakulam district in Andhra Pradesh.

Similarly, the Ministry recently issued orders to stall project works of East Coast Energy Pvt Ltd (ECEPL), another city-based power producer, which is setting up 2,640 MW Bhavanapadu Thermal Power project in Srikakulam District in AP, as several serious complaints poured against the company and those complaints are under examination.

In the case of the Suryachakra plant, the Expert Appraisal Committee (EAC) under the MoEF is of the opinion that the project may fall within the buffer area of Sanjay Gandhi Tiger Reserve area, proposed to be set up in Sidhi district of Madhya Pradesh.

The Committee ordered the company to obtain a no-objection certificate from the authorities concerned in the Wildlife Department.

According to the company, land acquisition is yet to be completed and coal linkage is under process with the Ministry of Coal.

“The committee noted that even though the project proponent claims that there are no national parks, wildlife sanctuaries, tiger/biosphere reserves etc. within 10 km of the site, prima facie, it appears the project may be falling within the proposed buffer of Sanjay Gandhi Tiger Reserve,” EAC said in its observation.

And, therefore, it was decided that the project proponent shall obtain authenticated distance of the proposed project site from the Tiger Reserve from the office of the director, Sanjay Gandhi Tiger Reserve before the case is considered. Accordingly the matter was deferred,” the committee added.

When contacted, a Suryachakra official said they were in the process of obtaining no—objection certificate from Sanjay Gandhi National Park authorities.

“We have already applied to the authorities and we are expecting the certificate in the first week of January and we don’t see any problems in that,” the official told PTI.

The Suryachakra group company is setting up a 1320 MW (2x660 MW) Clean Technology Super Critical coal-based power plant and entered into an MOU with Madhya Pradesh Government.

“We have identified 884 acres for the project.

Of the total 884 acres, 288 acres belong to the Government and the rest belong to private people. We have so far spent around Rs 30 crore on the project,” the official said.

The project, which is estimated to cost around Rs 7,000 crore, will be developed on 70:30 debt and equity ratio.

According to sources, the company is in discussions with 3 to 4 parties for the equity stake sale.

Once the company obtains all the necessary clearances, discussions for the stake sale may proceed further, sources said.

Published on December 28, 2011

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