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KPCL seeks coal linkage for Bellary Unit-II

EM NEWS BUREAU ,  Thursday, December 22, 2011, 12:25 Hrs  [IST]

Untitled - 49Karnataka Power Corporation Ltd has requested the coal ministry to expedite allocation of coal linkage for its 500- mw Unit II of Bellary thermal power plant. The plant requires 2.5 million tonnes per annum to function at its full capacity, for which the utility has been allotted captive coal blocks. However, the coal block is likely to start production in about five years, whereas the unit is scheduled for commissioning in November 2011. The Bellary plant already has one unit of 500 mw in operation.

The coal for the project was to be sourced from the enhanced production Baranj I-IV, Manoradeep, Kiloni captive coal blocks, located in the Wardha valley coalfields in the Chandrapur district of Maharashtra. The captive coal block for the project has recently received the approval for revised mining plan on August 24, 2011, which is also the zero date of the project.

According to the utility, a minimum of 60 months period from the zero date is necessary to achieve the enhanced coal production of 2.5 million tonnes per year to meet the requirements of Bellary Unit II, in addition to the annual requirements of Bellary Unit I of 2.5 million tonnes, totaling to 5 million tonnes.

KPCL also informed the coal ministry that it had executed the fuel supply agreement with Mahanadi Coalfields for supply of coal to Bellary Unit-II in December 2010. However, the coal company has requested to obtain clarification from the coal ministry on the issue of coal block for facilitating immediate supply of coal. In view of this, the utility requested the coal ministry to issue necessary instructions to MCL to supply required coal to the project for a period of five years.

The pre-mining and mining activities have been framed by Karnataka EMTA Coal Mines Ltd, a joint venture company of KPCL and EMTA. The original mining plan submitted by KECML indicated that the blocks allotted to the utility were for fueling a KPCL's Raichur thermal power station, whereas the blocks had been allotted to KECML to meet the coal requirements of a Bellary thermal power plant. In view of this, the company was asked to revise the mining plan and submit it for approval again.
 
                 
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