Naphtha for the 650-mw Hyderabad metro combined-cycle power project of the National Thermal Power Corporation is likely to be transported from Visakhapatnam through pipelines.
The proposal has been mooted following the decision of the state government that the Rs 2,021.35 crore project would be located at Shankarpalli, on the outskirts of Hyderabad.
Earlier, NTPC had suggested shifting the project to Kakinada or Visakhapatnam, saying that it will be easier to transport and store naphtha from the Visakhapatnam refineries of Hindustan Petroleum Corporation at a coastal location.
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The proposal to shift the project assumed political overtones with the charge that the state government was trying to stunt development of the Telangana region. Chief Minister Chandrababu Naidu intervened and decided against a change in location.
A study by NTPC and the Andhra Pradesh State Electricity Board also indicated that location of the project near Hyderabad would result in a saving of over Rs 70 crore a year, as transmission losses, put at anything up to 30 mw now, could be reduced.
Hindustan Petroleum is installing a product pipeline from its refinery in Visakhapatnam to Vijayawada, a distance of 365 km, at a cost of Rs 600 crore. The pipeline, 18-inch in diameter, is designed to transport 5.5 million tonnes of petroleum products and will have terminals at Rajahmundry and Vijayawada. It is intended to feed consumption centres in Andhra Pradesh and parts of Maharashtra.
The NTPC proposal is that the pipeline should be extended to Hyderabad from Vijayawada, a distance of 250 km, to carry naphtha for the power project at Shankarpalli.
The Hyderabad terminal will also be better suited to cater to the consumption centres in Maharashtra.
Till the pipeline is laid, NTPC will utilise the rail to transport naphtha from Visakhapatnam for the power project. A detailed assessment of the naphtha requirements and the cost of extending the pipeline are now being carried out by NTPC and Hindustan Petroleum. This will be the first major petroleum products pipeline in the.
The Hindustan Petroleum pipeline between Visakhapatnam and Vijayawada will be equipped with sophisticated supervisory control and data acquisition systems, leak detection system, telecommunication system, corrosion protection facility, intelligent pig survey facility for assessment of the health of the pipeline and drag reducer for enhancement of the throughput.
Apart from avoiding transport bottlenecks, the pipeline will also ensure the most cost-effective and environment-friendly transport of petroleum products.