11 IPPs yet to acquire land in state

Locations of Kalinga Energy, Visaka Power to be changed.

Eleven out of 27 Independent Power Producers (IPPs), with whom the Orissa government had singed Memoranda of Understanding (MoU) for securing its long-term energy requirement, have not acquired even a single acre of land for their projects in the last four years.

These IPPs had singed their MoUs between 2006 and 2009. The shoddy progress of the projects-in most cases due to non-seriousness of the promoters-has become a cause of worry for the government.

In a bid to weed out the non-serious players, the state energy department officials, who have been holding review of the projects from time to time, have issued warnings to few IPPs asking them to expedite their projects or face cancellation of MoUs.

The 11 power producers which have failed to acquire any land so far are Mahanadi Aban Power Company Ltd, Nava Bharat Power Ltd, Bhushan Energy Ltd, Essar Power Ltd, Tata Power Company Ltd Astaranga Power Company Ltd, Chambla Infrastructure Ltd, Jindal Steel & Power Ltd, Kalinga Energy & Power Ltd, Sahara India Power Corporation Ltd and Visaka Thermal Power Ltd.

Two of them Kalinga Energy & Power Ltd and Visaka Thermal Power Ltd have proposed change of location of the projects. Kalinga Energy & Power proposed to set up a 1000 MW power plant over 1000 acres of land at Babuchakuli in Sambalpur districta. Visaka Thermal Power intended to set up its 1050 MW plant on 1200 acres of land at Bhandari Pokhari in Bhadrak district. The revised locations of these projects are yet to be decided.Add to this list, six more IPPs who have signed MoUs with the state government as late as April/May 2010, a majority of the 27 IPPs proposed in the state are actually non-starters till date. The six new IPPs are BGR Energy Systems Ltd, J R Powergen Ltd , Adhunik Power & Natural Resources Ltd, Maadurga Thermal Power Company Ltd, Vijaya Ferro & Power Ltd and JSL (formerly Jindal Stainless Ltd).

However, some other IPPs such as Ind Barath Energy Utkal Ltd, Monnet Power Company Ltd and GMR Kamalanga Energy Ltd have made appreciable progress in land acquisition. While Ind-Barath has already acquired 545 out of 725 acres at Sahajbahal near Jharsuguda needed for its 700 MW power plant, Monnet Power has taken possession of 635.72 acres out of the total land requirement of 993.42 acres for its 1000 MW power project proposed to be set up at Chendipada in Angul district.

GMR Kamalanga has acquired 1011.25 acres out of its overall land requirement of 1175.76 acres at Kamalanga for its 1050 MW power plant.