This Article is From Dec 27, 2013

Odisha optimistic of retaining OPGC's two coal blocks

Odisha optimistic of retaining OPGC's two coal blocks

Optimistic of retaining two coal blocks allocated to its public sector undertaking, Odisha Power Generation Corporation (OPGC), the state government on Thursday said that it has made substantial progress in implementing the expansion plan of its Ib Valley power project.

"We are not at all apprehensive on cancellation of two coal blocks allocated in favour of the Odisha Power Generation Corporation (OPGC) by the Centre. We are confident that the Ministry of Coal will be satisfied over our progress," Energy Secretary P K Jena told reporters after Chief Secretary J K Mohapatra reviewed progress of the Ib Valley project.

"We will carry on within the deadline given by the Ministry of Coal."

Claiming that OPGC's expansion plan was on track, Mr Jena said the boiler turbine generator (BTG) package has been awarded to the Bharat Heavy Electricals Ltd (Bhel) and the BoP (balance of plant) contract to BGR Energy Systems.

Asked about the progress made in Manoharpur and dip side of Manoharpur coal blocks, he said, "The state government has already applied for mining permission, which is pending with the Centre for about a year. We have completed other required formalities."

The state government has already sanctioned 80 per cent of land required for the two coal blocks (Manoharpur and Manoharpur dip side) which reserved an estimated 350 million tonnes of coal. Besides, 77 per cent of the people have been given compensation for parting land for the two coal blocks, he said.

Earlier, the MoC in a letter of explanation had asked the OPGC about the reasons for slow progress as well as the efforts made in development of the coal block, within 20 days.

Failing which, the ministry said, it would be presumed that the OPGC has no explanation to offer and action as appropriate would be taken.

The ministry has also asked OPGC to furnish a detailed status on the progress of the end-use plant for which the coal blocks were allocated.

The MoC had allocated the Manoharpur and dip side of Manoharpur coal blocks to OPGC on July 25, 2007 to cater to the expansion of its Ib valley power station near Jharsuguda.

OPGC, which runs a 420-MW plant, has been adding two 660-MW super critical units. The expansion plan is being taken up at a cost of Rs 11,547 crore, which also includes cost of other components like coal block development and dedicated rail corridor.