Chhattisgarh, with abundant availability of natural resources, has a potential to produce 100,000 megawatt of power for the next 100 years, according to a study on the power potential of the state done by the Power Finance Corporation. |
The mineral-rich state, which has coal reserves of 35,000 million tonnes, has signed pacts with more than 50 private companies to invest in the power sector. The proposals are aimed to add more than 42,000 Mw capacity by 2011. |
The state government had earlier made it clear that mining lease would be recommended only if a company invested in the state and used the minerals within the state. |
The government indicated it would cancel agreements if any company failed to come up with its investment within a prescribed period. The state government's position threatened the Centre's proposed 4,000-Mw ultra mega power project in the state. |
"The state is not showing interest in the project as it has bitter experience with the NTPC's Sipat power plant from where the state has been denied power," the official said. |