Eco issues delay bids for Chhattisgarh power project

Environment issues have once again delayed the invitation of bids for the 4,000 Mw Ultra Mega Power Project (UMPP) at Sarguja in Chhattisgarh.

The preliminary bidding process for the project has been delayed by two months. Now the last date of submission of bids is on March 8, a power ministry official said.

This is the fourth time the process has been delayed, Power Finance Corporation (PFC), the nodal body for the execution of UMPPs in the country had invited initial bids for the Chhattisgarh project in March, 2010.

The bidding process has got delayed four times till date as the Ministry of Environment and Forests (MoEF) is yet to approve mining from the coal blocks allotted for the project.

MoEF is yet to come clear on the subject of ‘go’ and ‘no-go’ areas for coal mining. MoEF classified no-go areas as the zones where mining activity could not take place as it would have adverse impact on the environment.

The Coal Ministry had allotted Hasdeo coal block in Chhattisgarh for the Sarguja UMPP.

Another such project at Orissa is likely to get MoEF clearance for its coal blocks.

The government has so far allotted four UMPPs.

Three have been bagged by Reliance Power — Sasan (Madhya Pradesh), Krishnapatnam (Andhra Pradesh), Tilaiya (Jharkhand). Tata Power bagged the Mundra UMPP in Gujarat.

These projects are part of government’s ambitious plan to mitigate electricity shortages, and add to India’s capacity addition initiative.

The government plans to add about 1,00,000 Mw of power.

The major chunk would be contributed by such projects.