Idco to conduct bankability study for coal corridor

Odisha govt has already sanctioned Rs 50 lakh, out of Rs 1 cr needed for carrying out the study

The Odisha Industrial Infrastructure Development Corporation Ltd (Idco) that has decided to implement the Rs 6000-crore Angul-Chhendipada coal corridor on its own, will soon take up financial bankability study for the project.

The state government has already sanctioned Rs 50 lakh, out of Rs one crore needed for carrying out the study.

Initially, the coal corridor was to be developed as a 50:50 joint venture between Idco and state controlled miner Odisha Mining Corporation (OMC). Later, Idco decided to go on its own after OMC expressed unwillingness to implement the project.

The common corridor will support 10 blocks operating in the Talcher coalfields under the command area of Mahanadi Coalfields Ltd (MCL).

The development of the 143-km corridor is estimated to cost Rs 5000 crore and it is expected to handle coal traffic in excess of 100 million tonnes annually.

The proposed corridor will be connected to rail heads at three locations- Jharpada, Angul and Budhapanka. The common corridor will have multiple entry and exit points and no surface crossing. Besides, flyovers have also been proposed to avoid cross movements at junction stations. The project is designed to have multi-point centralised loading stations conceived along the corridor rather than individual bulb connections with a view to avoid interference or wastage of coal bearing areas. Road and water pipe alignment will run parallel to rail alignment. More than 50 industries in sectors like steel, aluminium and power are expected to be the beneficiaries of this proposed corridor.

It may be noted a number of power and steel companies, which have been allotted coal blocks in the area, are facing resistance with regard to land acquisition for construction of private railway sidings. The construction of a common corridor is expected to overcome the problem. A similar corridor is also being considered for the Ib valley region.