Even as reports of privatising some of its upcoming thermal power stations gather momentum, the Madhya Pradesh government has yet to begin its disinvestment programme.
Earlier last year, the state had planned to dilute its stake in companies, including Narmada Hydroelectric Development Corporation (NHDC), State Mining Corporation, and MP Forest Development Corporation after off-loading some shares in Manganese Ore India. NHDC is a joint venture of the state government and National Hydropower Corporation.
A well-placed government source said on Thursday that there is a plan to sell off stake in the under-construction Singaji Thermal power station, as private companies are finding it difficult to get coal linkage from the Centre. “They may come forward and pick stake, thus enabling the state to get a fair price,” he told Business Standard. “That will also help the work on these projects to get faster.”
In fact, several companies have proposed to set up thermal power projects in Madhya Pradesh, but securing coal linkage is a distant dream for many. Singaji, with 1320-Mw capacity, is coming up in southwest MP’s Khandwa.
The government, on its part, admitted that it had yet not started disinvestment plan for companies like NHDC. “It will take some time,” said state chief secretary Avani Vaish.
The state had also readied a plan to go public for Mining Corporation. The disinvestment of other government-owned entities like Forest Development Corporation would require Supreme Court permission.
Narmada Hydroelectric Corporation has completed two mega hydel projects in the state — the 1,000-Mw Indira Sagar project and 520-Mw Omkareshwar power project. It had earlier planned to adopt three mini hydro power projects of 120 Mw combined capacity, but later dropped the idea. It also planned to enter into wind energy, but it did not receive state government support and thus dumped the plan to set up a 100-Mw wind energy project in Kukru village of Betul District.
But it has bagged Rewa Thermal project of 1,320 Mw. “The NHDC sell-off will be a profitable venture of state government,” the source said. “Yet, the government has not decided on the company.” NHDC recently paid Rs 39 crore dividend to the government after registering a net profit of Rs 304 crore.
