State govt, opposition Congress lock horns; Gohil writes open letters on how Swan can make Rs 12k cr from CERs
The political battle between ruling BJP government and Congress-the opposition party in Gujarat state assembly- over alleged scam in 49 per cent divestment in GSPC Pipavav Power Company (GPPC), a subsidiary of Gujarat State Petroleum Corporation (GSPC) seems to hotting up in the wake of state government terming Congress' claims over the controversy as baseless and meaningless.
Slamming the state government, the leader of opposition in Gujarat state assembly today dashed off an open letter to Jaynarayan Vyas and Saurabh Patel, the spokesperson of the state government stating that the clarifications given by the state spokesperson are 'fake'.
Yesterday, Gohil, in a press conference, had alleged that the state government of favouring Mumbai-based Swan Energy Limited in 49 per cent divestment in GPPC, a subsidiary of Gujarat State Petroleum Corporation (GSPC). Following the agreement with government, Swan Energy will earn Rs 12,000 crore over ten years through sale of carbon credits to be earned by reducing carbon emission in these power plant projects, claimed Gohil.
Terming the allegations made by Gohil as baseless, Vyas had clarified that no consultant had been roped in by Gujarat government to look into conversion of coal based power stations to gas based power stations and there were no estimates of carbon credit earnings.
"The state government has roped in Ernst and Young as consultant for this project," Gohil contended, adding, that the government/SWAN energy official statements estimate 13.2 million carbon credit post conversion of erstwhile Gujarat Electricity Board's ageing coal based power stations to gas based power stations having approximate capacity of 3,600 Mw.
GPPC is in the process of undertaking two projects currently in Gujarat. The company has begun the spadework for a greenfield power project of 702 Mw at Pipavav. The company had also ordered a dual fuel turbine for the project which got damaged in an accident a couple of months ago. The company has roped in Ernst & Young for assessment of carbon and this project will generate about 1.2 million CERs per year, according to a recent GSPC statement.
Besides, GPPC has received in-principle approval for converting some of the ageing plants of Gujarat Urja Vikas Nigam Ltd or erstwhile GEB from coal fired to gas based. The total installed capacity of these GUVNL plants is 3600 MW.
State government sources close to the development said that currently the feasibility study for conversion of 3,600 Mw of coal based projects to gas based was on and consultants for the same were yet to be roped in. Meanwhile, consultants for the 702 Mw greenfield project have been roped, sources added.
Swan Energy has recently stated in a press statement that it can garner about 10 million CERs per year after conversion of these units, making it one of the largest Clean Development Mechanism projects in the world, according to Gohil.
"You also have vainly tried to cover up the carbon credit scam by feebly terming my "claim" that the carbon credit talk of 12000 crore is also baseless," Gohil states in the letter. He has further enclosed official press released made public by GSPC and Swan Energy to substantiate his claim. "Please find herewith the official statements issued by both GSPC and Swan Energy corroborating exactly what I have said. The official statements were issued less than a month ago," he said.
