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regular-article-logo Monday, 23 December 2024

Bid to sign power buy pacts

A total of 8,000 MW of thermal capacities in India are without any power purchase agreements

PTI New Delhi Published 27.06.22, 04:16 AM
RK Singh

RK Singh File Picture

The government will invite bids from states to sell electricity generated from 8,000-megawatt (MW) thermal capacities without power pur-chase agreements, power min-ister R.K. Singh has said.

A total of 8,000 MW of thermal capacities in India are without any power purchase agreements, Singh, who is also the minister for new and re-newable energy, said.

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Replying to a question related to capacities without PPAs in India, the minister said: “There are 8,000 MW ofcapacities which don’t havePPAs in thermal”.Sharing the government’splan to resolve the issue, the minister informed that states have been asked to send their electricity requirement, and accordingly bids will be invited.

“We will aggregate (their demand) and call on for bids and based on the bids, whoever puts in the lowest bids, PPAs will be signed. Once PPAs aresigned, they (states) will getthe power,” he said. Speaking further, the min-ister said there are also some thermal capacities undergo-ng the National Company Law Tribunal (NCLT) pro-ceedings, and the government has already taken severalsteps, including meeting withthe bankers, to resolve the issue at the earliest so such plants can start operations.

“There are some projects in the NCLT. The country has17,500MW plants, which runonly on imported coal. Out of that, 2,500MW were under the NCLT. I had a meeting with bankers etc. We worked out on ways and means of starting this,” he said.

Coal mines

Coal India unit North Eastern Coalfields is in the process ofseeking clearances for puttinginto operation two of its mines in Assam in the current financial year.

The development assumes significance in the wake of efforts being made to avoid the reoccurrance of power outag-es faced by the country at the beginning of the summer sea-son this year due to the short-age of coal supplies.

According to a senior official, once production starts from Tirap OCP (open cast project) of North Eastern Coalfields in Assam, the mine will add 0.6 million tonnes (mt) of coal supplies.He further said that the company is also in the process of getting clearances for TikakOCP in the state, which will produce 0.2 mt of coal.

“Once both the mines begin production, the company will produce around one million tonnes more,” the official said. A major share of the coal produced from both blocks will go to power. Mining at North Eastern Coalfields resumed in Marchafter coal minister Pralhad Joshi inaugurated the operations at Tikak Colliery in Assam’s Tinsukia district.

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