Govt rejects GVK's request to use high speed diesel

The company had requested the MoEF to use the fuel instead of natural gas at its plant in Andhra Pradesh

The Ministry of Environment and Forest has rejected the request of GVK Group for using high speed diesel (HSD) instead of natural gas at one of its power generation plants in Andhra Pradesh.

The Expert Appraisal Committee of MoEF while rejecting the GVK group's request advised it to submit an application which will be forwarded to Ministry of Power and Ministry of Petroleum and Natural Gas for their views.

"The committee, however, rejected the request for substitution of Naphtha by HSD and decided that the project proponent may submit its request, which can be forwarded to MoP & NG and Ministry of Power for their views," the MOEF Committee said .

GVK officials were not available for comments.

The company had requested the MoEF to use HSD for one of its power plants Jegurupadu-390 MW (Phase-II) Gas Based Combined Cycle Power Project in the State, as the gas supplies from Reliance D-6 in KG-Basin continue to dwindle.

In November 2000, the MoEF accorded permission to GVK to use Naphtha up to 500 tons per day for the power generation till the company obtains full quantity of natural gas to operate the plant on 100 per cent natural gas. Recently, GVK made a request with MoEF to use HSD in place of Naphtha.

GVK informed that the gas supply from Reliance Industries Ltd to the project is in reducing trend and the current supply is at about 0.5 million standard cubic meters per day (mmscmd) instead of 1.1 mmscmd.

With the less quantity of gas available, the project can be operated at 47 per cent plant load factor only, the Hyderabad-based company had said.

"Due to continuous reduction in gas supply, the plant operation has fallen below technical limits of 60 per cent loading, thus reducing available energy to the grid. In order to meet the power demand of the grid, it is envisaged to use liquid fuel (HSD) as an alternative fuel in place of Naphtha," GVK had requested to the ministry.