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OTPCL may implement 2400 Mw project on its own

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BS Reporter Kolkata/ Bhubaneswar
Last Updated : Jan 29 2013 | 2:34 PM IST

Unable to find a suitable strategic partner for implementing the 2400 Mw coal-based power project, Odisha Thermal Power Corporation Ltd (OTPCL) is now set to implement the project on its own.

OTPCL, a 50:50 joint venture between Odisha Mining Corporation (OMC) and Odisha Hydro Power Corporation (OHPC), has been allowed to take up project construction on its own without inducting a strategic partner at this stage.

This decision was taken at a meeting of the steering committee headed by chief secretary B K Patnaik recently.

The committee felt that inducting a strategic partner under the present fluctuating and complex regulatory scenario may not fulfill the objectives of OTPCL.

OTPCL has been permitted to take consultancy support of National Thermal Power Corporation Ltd (NTPC) in providing technical consultancy for pre-project development, tendering and selection of bidders for supply and erection of plant's machinery, commissioning and post commissioning supervision including quality assurance on behalf of the company.

The OTPCL board will have the autonomy to take all day-to-day decisions except important matters involving policy issues and major financial issues.

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The 2400 MW project of OTPCL proposed at Kamakhyanagar in Dhenkanal district and taken up a cost of Rs 10,000 crore, needs 1969.78 acres of land in all which includes 987.77 acres of government land and 83.94 acres of forest land in addition to 982.015 acres of private land.Notification for land acquisition under Section 4 (1) of Land Acquisition Act has been issued for the project. Notification under Section 6 (1) is expected to be issued soon.

It has been decided that OTPCL will form its own project management team with skeletal manpower consisting of personnel having project implementation experience in large coal-based power plants.

The state government has already administrative approval for acquisition of 982.015 acres of private land at the project site. The private land is to be acquired in 10 villages.

But OTPCL's power project is mired in uncertainty after the two promoting PSUs- OMC and OHPC recently lost their allocated coal blocks- Mandakini-B and Baitarani West. Coal from these blocks was supposed to be utilized for this power project. OTPCL has already got the water allocation from the department of water resources.

Entire power generated from the power plant will be procured by Gridco, the state owned bulk power purchaser as per the tariff determined through the bidding process.

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First Published: Jan 01 2013 | 12:44 AM IST

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