NTPC plant is no hindrance to CIL’s Karanpura mines

Siddhartha P. Saikia Updated - March 12, 2018 at 03:45 PM.

Site decided after both companies agreed

Cooling towers of NTPC Simhadri Super Thermal Power Plant. Photo: C.V.Subrahmanyam.

The > NTPC ’s 1,980 MW super-thermal power plant in Jharkhand will not impact mining activity at Coal India’s Karanpura mines, located close by.

After the Prime Minister Manmohan Singh-headed Cabinet Committee on Investment (CCI) gave its go-ahead last week, work will now resume on the power project, activity on which has been pending for more than a decade.

The power plant is to be set up in the vicinity of Tandwa, in Chatra District of Jharkhand. One of the most productive mines, Karanpura, is also located across the Hazaribagh, Ramgarh and Chatra districts.

Now, both sides —

>Coal India and NTPC — have agreed to work on their respective projects, say industry experts. The power plant will be operational for 35 years. After that, the land will be available for mining.

The dispute started way back in 2003, when Coal India raised the issue that the power plant would be sitting on an area with nearly six billion tonnes of reserves.

Coal linkage

In 2000, coal linkage was accorded by the Coal Ministry from the Magadh mines. Subsequent to the dispute, the site was finalised jointly by Coal India Limited (CIL), CMPDIL (Central Mine Planning and Design Institute Limited), CCL (Central Coalfields Ltd) and NTPC in July, 2003.

NTPC had obtained various statutory clearances related to land, water, forest and environment and had gone ahead with land acquisition, community development activities, construction of ITI building, approach and diversion roads, office blocks, CISF barracks, fencing and site-levelling.

But in 2008, the issue of site relocation of the plant to a non-coal bearing area was raised by the Coal Ministry. And it withdrew the coal linkage the same year. The relocation was proposed by CIL to avoid ‘sterilisation’ (rendering useless) of about 6 billion tonnes of coal reserves, as estimated by the miner.

As per the present approved mining plans for CCL’s coal blocks, coal mining activities are planned for a depth of up to 150 metres (Magadh, up to 110m and Amrapalli up to 135m, mines adjoining the project site). The mines are expected to have a life of around 25-30 years each, at the rated capacity.

Green clearances

Even if mining operations in these blocks are started by CCL immediately, and extend beyond the present approved mining plan zone, it would take about 50-60 years for the mining activities to reach a depth beyond 300m.

The Group of Ministers (GoM) — headed by the then Finance Minister, Pranab Mukherjee — in September 20, 2011 constituted a committee under the chairmanship of B.K. Chaturvedi, Member (Energy), Planning Commission with Secretary (Power) and Secretary (Coal) as members.

The Chaturvedi Committee considered a few options. These included NTPC being told to construct the power plant at the present site with safeguards. Else, the North Karanpura field would be handed over to Coal India for exploration and NTPC would set up its power plant at another site, perhaps Patratu or Tenughat, in Jharkhand.

The Chaturvedi panel, noted that NTPC has invested Rs 200-250 crore and obtained various clearances. The project, in fact, has received support from the Ministry of Environment & Forests, with Stage-1 Forest Clearance given and construction of a water dam having been started.

Coal availability

Second, Jharkhand has significant coal potential and if power projects are constructed near coal mines, the cost of power will be low. It will also not put too much pressure on the transportation system. From this angle, too, the power plant near the coalfield is justified.

Third, the demand for power is going to keep increasing. This plant will provide electricity to an energy-starved State as well as meet regional and national requirements. From this perspective, therefore, the power plant appears necessary.

In addition, the panel noted, the neighbouring mines of Magadh and Amrapalli will take 25-30 years for full extraction over Phase-I. Phase-II could take another 25-30 years. Hence, the open-cast mining operations would reach the proposed power plant’s boundary only 50-60 years from its start of operations.

The economic life of the power plant is around 35 years. It is, therefore, possible for the power plant to be set up for this period. In view of the above, the Committee considered the possibilities for a strategy that ensures extraction of coal as well as setting up the power plant.

siddhartha.s@thehindu.co.in

Published on February 24, 2013 16:25