Reliance Power gets nod to mine extra coal for Sasan UMPP

Reliance Power said on Wednesday that the union coal ministry has allowed the company's Sasan Ultra Mega Power Project (UMPP) in Madhya Pradesh to mine additional coal from its Moher and Moher Amlohri captive coal blocks attached to the project.

"Ministry of coal grants permission to Sasan Power Ltd. (SPL) to produce additional coal," Reliance Power, which wholly owns SPL, said in a stock exchange filing.

The project has been allowed to mine coal upto 17.20 million tonne per annum (mtpa) during the current fiscal, the company said.

"Based on representations by SPL (Sasan Power Ltd.) and its procurers to permit SPL to produce the requisite coal sufficient to meet the requirement of Sasan UMPP, MOC (ministry of coal) vide its letter of 15th March 2016 has permitted to increase the coal production upto 17.20 mtpa during 2015-16," it said in a statement.

In June 2015, the coal ministry had directed Sasan UMPP to limit annual coal production to 16 mtpa, it added.

The company said the permission will help it generate an additional 2,200 million units of electricity, which will benefit 42 crore people across seven procuring states.