ORISSA FINDS PLACE IN ULTRA MEGA PROJECT MAP

Ministry of Power, Govt. of India’s ambitious Ultra Mega Power Projects have found an address in Orissa as Power Finance Corporation (PFC) – the Nodal Agency for setting up of Ultra Mega Power Projects in the Country has decided to set up Sixth Ultra Mega Power Project of the Country in Orissa at an expenditure of Rs.15000 Cr.

Earlier under the new Ultra Mega Power Policy of Govt. of India, Mr. P. Chidambaram while tabling the Budget for FY 2006-07 in Parliament on 28.02.2006 intimated that Power Finance Corporation (PFC) has been authorized to form 5 nos. of Shell Companies for installation of five Ultra Mega Power Projects of 4000 MW each at the cost of Rs.15,000 Cr. each. PFC has already installed the following 5 nos. Shell Companies to finalize the site, Fuel linkage in Captive Mining Blocks, Water availability, Environment and Forest clearance, Land requisition etc. so as to handover the projects to developers through competitive bidding by end of December 2006/March 2007:-

(a) Sasan (Madhya Pradesh)
(b) Akaltara (Chhatisgarh)
(c) Mundra (Gujarat)
(d) Tadri (Karnataka)
(e) Ratnagiri (Maharastra).

Power Finance Corporation has already invited Expression of Interest (EoI) for selection of developers for setting up Ultra Mega Power Project (4000 MW) on Build, Own and Operate (BOO) basis at Sasan (MP), Mundra (Gujarat) and Tadri (Karnataka). PFC has received 33 nos. of Expression of Interest (EoI) for Sasan Project in Madhra Pradesh and 34 nos. of EOI in Mundra Project (Gujarat) on 28.02.2006 which are being valued at Rs.6,00,000 Cr. EoI for Tadri will be opened on 10th April, 2006.

The Ultra Mega Power Projects planned by Ministry of Power have the following innovative and state-of-the-art features for which the cost of electricity to be generated from the Ultra Mega Power Project will be in the range of Rs.1.60 to Rs.1.80 Paise per Unit.

(a) Use of Super Critical and Ultra Super Critical Technology.
(b) Use of Clean Coal Technology (CCT)
(c) Economy of Scale.
(d) 100% Ash Ultilisation
(e) Emission Trading.

The High Level Team from Ministry of Power, CEA and PFC visited Orissa from 21st March to 24th March, 2006, visited probable sites and after discussion with the State Government, submitted the report based on which PFC now decided to award one Ultra Mega Power Project to Orissa, which will be a coal pithead based on indigenous coal and is likely to start its construction works by May, 2007.

Andhra Government has also put up their claim for allocation of an Ultra Mega Power Project at Krishnapatnam in Nellore District. Govt. of India is yet to take a decision in the matter.

Due to such policy decision of Govt. of India, Orissa is expected to receive 35% share i.e. about 1400 MW of Ultra Mega Power towards2011-12 at a cost of Rs.1.60 – Rs.1.80 per Unit which will fulfill at least 15% of the additional capacity of 9000 MW required by the State of Orissa as per “VISION-2010”.

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