IMC gives raw deal to Odisha on coal blocks

Panel recommends only one new block for OTPCL

The inter-ministerial committee (IMC) on coal has meted out a raw deal to Odisha, recommending only one out of four new coal blocks in the state in favour of its PSU, Odisha Thermal Power Corporation Ltd (OTPCL).

Of the four new coal blocks — Chandrabila, Tentuloi, Sarapal-Nuapada and Kudanali-Luburi notified by the Ministry of Coal (MoC) under ‘auction by competitive bidding’, the IMC has recommended only the Tentuloi block with 1,234 million tonne reserves in favour of OTPCL, a 50:50 joint venture between Odisha Mining Corporation (OMC) and Odisha Hydro Power Corporation (OHPC)

The Chandrabila block has been proposed for NTPC Ltd while the Kudanali-Luburi coal block has been recommended by IMC for joint allocation to NTPC and Jammu & Kashmir State Power Development Corporation Ltd.

IMC has recommended the Sarapal-Nuapara block in favour of Andhra Pradesh Power Generation Corporation Ltd (APGENCO). The recommendations for new coal blocks have been made by the committee broadly in line with the suggestions given by a technical committee under Ministry of Coal (MoC).

Apart from OTPCL, three other state PSUs- Odisha Power Generation Corporation (OPGC), OMC and OHPC had applied for the newly notified coal blocks.

The technical committee did not consider the application of OPGC for an additional coal block as appropriate. OPGC had sought an additional coal block for catering to expansion plan of its Ib valley power station where the state PSU is adding two 660 Mw super critical units.

The panel observed that OPGC has already been allotted Manoharpur and Manoharpur dip side coal blocks with reserves of 350 million tonne that were sufficient to meet the expansion needs.

The state PSUs had promptly applied for new coal blocks after the MoC de-allocated five blocks in Odisha for their unsatisfactory development.

The coal ministry had de-allocated New Patrapara, Baitarani West, Utkal-D, Mandakini-B and Naini blocks. Of these, Utkal-D and Mandakini-B were allocated to OMC while Baitarani West was awarded to OHPC jointly with PSUs of other states. The rest two blocks were allocated to private firms.