The Kerala State Electricity Board (KSEB) has forfeited permission to develop the Baitarani west coal block in Odisha for want of a ‘purposeful follow-up’.
The de-allocation follows recommendations to this effect from an inter-ministerial group at the Centre, according to sources.
No progress
This coal block, with reserves of 600 million tonnes, was jointly allocated in 2007 to the Odisha Hydro Power Corporation, Gujarat Power Corporation and KSEB.
The proposal was for setting up a 1,000-MW pithead, coal-fired power plant at a cost of Rs 5,000 crore close to the coal block.
The Union Ministry of Coal has been reminding representatives of the three companies to expedite development of the block.
Critical milestones such as forest clearance, environment management plan, mining lease and land acquisition too have been pending.
The inter-ministerial group observed the ‘lack of progress on any of the three end-user projects’ to be set up by the agencies concerned.
Blame game
No indication on the expected date for the start of production from the coal block had been made available
Meanwhile, the issue figured in the State Assembly on Friday with Electricity Minister Aryadan Mohammed faulting the previous Government for the mess in Baitarani.
The minister’s accusation was in reply to a notice for adjournment on the grave power crisis in the State.
He clarified that it was cyclical load-shedding, and not a power cut, that has come into effect lately in the State and that too at the instance of the power regulator.
The objective was to curb consumption at a time when the annual monsoon had failed the State miserably.
The State was faced with the gravest crisis on record after the commissioning of the Idukki hydroelectric project more than three decades ago.
But A. K. Balan of Opposition party CPM, who sought leave for the adjournment motion, squarely blamed the Government for ringing in the crisis.
Warnings sounded
The State Electricity Regulatory Authority had sounded alert of the impending crisis in advance. The Government had failed miserably in fetching the State its quota of 281 MW from the Central pool, which would have helped tide over the crisis.
The loss of the Baitarani coal block could not have at a worse time, Balan said. It exposes dilly-dallying in this matter by the State Government, he alleged.
Published on December 14, 2012
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