NLC to invest Rs 29,239 crore in coal, power sector

Underground Coal Gasification projects in Rajasthan and Gujarat will be implemented through joint venture with ONGC

Neyveli Lignite Corporation Limited (NLC) is expected to invest Rs 29,239 crore in coal and power sectors during 12th plan of which a major share of the investment would into development of power projects.

Sriprakash Jaiswal, Union Minister of Coal today informed the members of Parliamentary Consultative Committee attached to his ministry that out of the total investment, Rs 26,728.40 crore will be for development of power projects while Rs 2,510.70 crore will be for coal projects.

During the period NLC has planned expansion of a number of its ongoing projects which also include mines at Neyveli and Barsingsar (Rajashtan) and power plant at Tuticorin (Tamilnadu).

He said that NLC has also planned to setup wind farm with the investment of Rs 364.75 crore and Solar Power Project with the cost of Rs 13,319 crore.

It is already working on the development of Underground Coal Gasification (UCG) Projects and a UCG project in Raneri, Rajasthan will be taken up through a suitable developer through competitive bidding. UCG projects in Rajasthan and Gujarat will be implemented through a joint venture with ONGC. The government is expecting that the lignite production in the country in 2016-17 is expected to reach 290.16MT.

Participating in the discussion, Members of Parliament (MPs) demanded that during the planning of relief and rehabilitation projects coal companies should consult local elected representatives including the MP.