State Pulse: Madhya Pradesh: Towards becoming power-surplus state
Category » Editorial Posted On Tuesday, March 17, 2009

The Standing Linkage Committee of the Union Ministry of Coal has allotted 6.624 million metric tonne coal per annum for both the units from Korba-Raigarh coalmines of South East coalfield -AA Farhan
Madhya Pradesh is on course to not only tiding over power crisis but also becoming a power-surplus state. With this in view the foundation stone of Shri Singaji Thermal Power Project was laid recently at village Dongalia in Khandwa district by Chief Minister Shivraj Singh Chouhan. Being set up by Madhya Pradesh Power Generating Company the project would have two units of 600 MW each. It is for the first time that 600 MW units are being set up in the State. All requisite legal and formal sanctions have already been obtained for the project. A total of 1166 hectare land has been acquired for the project. The local people have extended commendable cooperation in land transfer process, reports SMS News and Features.
Required three TMC water for the project would be obtained from Indira Sager reservoir. The Standing Linkage Committee of the Union Ministry of Coal has allotted 6.624 million metric tonne coal per annum for both the units from Korba-Raigarh coalmines of South East coalfield. Suitable transport arrangement and coal transfer system would be developed for transportation of the coal.
The estimated cost of the project is Rs. 4053 crore. Of this, Rs. 3242 crore would be provided as loan by Power Finance Corporation and Rs. 811 crore as share capital by Madhya Pradesh government.
Concrete measures would be taken to check pollution from the project. In order to prevent the ash from mixing with the atmosphere a 275 metre high chimney would be constructed, which would be the first of its kind in the state. Plantation would be carried out in one third of the acquired land. A green belt would be developed around the ash dam and project area. Afforestation would also be don at a cost of Rs. 11 crore 25 lakh.
As per the commissioned schedule, the first unit would be commissioned by March 11, 2012 and commercial production in it would start by June 11 2012. The second unit would be commissioned by July 11, 2012 and commercial production from it would start by October 11, 2012.
After fulfilling all the conditions the project has been granted mega power status by the central government following which exemptions would be given in excise duty, customs duty etc. Due to this, the power to be generated by this project would be cheap.
It may be mentioned here that a Memorandum of Understanding has been signed between Ministry of Power, Government of India and Government of Madhya Pradesh to affirm the joint commitment of the two parties to reform of the power sector in Madhya Pradesh and to set out the reform measures which Madhya Pradesh State will implement, and the support that the Government of India will provide.
It is indeed heartening to note that Madhya Pradesh has initiated the process of implementing Power Sector Reform and the state government is committed to a time-bound reform and restructuring of the power sector in the State.. The objectives of its reform programme are to promote the development of an efficient, commercially viable and competitive power supply Industry, which will provide reliable and quality power at competitive process to all consumers in the State and which will support industrial development in the State. The Government of Madhya Pradesh in enacting its own Reform Act.
It is good that Government of India is also committed to support the process of reform of the power sector in the State of Madhya Pradesh. It seems that the Government of India believes that reforms in the power sector are now imperative. Unless reforms are implemented quickly, it may be difficult to even maintain the present quality of power supply leave alone improve it.
Both the governments are of the view that the Power Sector Reform should be carried out and implemented on a sustainable basis taking into account the realities of the State and the interest of different shareholders viz the utilities, consumers, general public, employees and the State.
It is hoped that like other projects the state government will also meet with success in power generation and power sector reforms also.