SCCL entrusted with development of APGenco coal blocks

The Andhra Pradesh government today decided to entrust development of all coal blocks currently held by the Power Generation Corporation of AP Limited, to Singareni Collieries Company Limited (SCCL).

Chief Minister K Rosaiah who discussed the issue at a high-level meeting in the Secretariat today, decided not to award the coal block development works to private bidders.

Coal worth more than Rs 15,000 crore is involved in the project in the Tadicherla coal block-1 in Malhar mandal of Karimnagar district.

The government originally decided to entrust the coal block development works to private parties but following adverse reaction from various quarters and also the representation by district minister D Sridhar Babu, the Chief Minister reviewed the policy, according to sources in the Chief Minister's office.

As per preliminary estimates, officials said there could a minimum five crore tonnes of coal in Tadicherla coal block-I, which would be supplied to the proposed Kakatiya thermal power project stage-II at Bhoopalapalli in Warangal district.

The Chief Minister said the arrangement between APGenco and SCCL would be worked out in a "mutually agreeable" manner.

"The ultimate goal and objective of the government is to invariably protect the public and consumer interests," Rosaiah remarked.

Principal Secretary (Energy) Sutirtha Bhattacharya, SCCL managing director Narsinga Rao and APGenco managing director Vijayanand attended the meeting.