9 power plants lined up for coastal areas

Among the proposed five ultra mega-power projects, three are planned in the coastal areas.

The government plans to set up nine coal-based coastal power plants with a capacity to generate 10,900 Mw of electricity. Discussions have been initiated with states like Maharashtra and Gujarat for this purpose.

The move comes in the wake of the government planning to import nearly 20 million tonnes of coal next fiscal due to the current domestic coal shortage.

With the country bracing for such unprecedented coal imports, the government wants to go in for coastal power projects that will not only save on transportation costs but also require minimal infrastructure arrangements in terms of additional wagons.

Among the proposed five ultra mega-power projects, three are planned in the coastal areas. These include Adani in Gujarat, Karwar and Mangalore in Karnataka.

A coastal site at Mundra in Gujarat has already been identified in consultation with the state government. A project with a capacity of 4,000 MW is proposed to be set up using imported coal, through tariff-based competitive bidding, to supply states in the western region. A minor port operated by P&O already exists in Mundra, which will provide the requisite infrastructure.

Maharashtra has also asked for setting up of an ultra mega power project at Dhowape in Ratnagiri district of Maharashtra, using imported coal. The viability of the Ratnagiri location is being examined by the Central Electricity Authority (CEA). The remaining locations will be selected by the standing committee for selection of sites for development of coastal power projects of Central Electricity Authority.

"It was noted that imported coal is presently cost competitive along the western and southern coasts on account of reduction of shipping costs," official sources pointed out.

The plants will possess dual coal use capability and be able to run on domestic or imported coal depending on availability.