Home News Technical Articles Interviews Cover Story Orders & Contracts
Power Generation
Green Energy

Uttar Pradesh loses one more IPP project

Em News Bureau ,  Sunday, February 17, 2013, 18:03 Hrs  [IST]

NTPC DadriBajaj Hindusthan Ltd has decided to withdraw from its 1,980-mw Bargarh power project in Uttar Pradesh following land acquisition related problems. This is the second private power project exiting from Uttar Pradesh in recent history, following the 1,320-mw Karchana project that Jaypee Group decided against pursuing.

Reliable reports suggest that the state government could not help private developer Bajaj in land acquisition. As against 13,000 acres of land required for the Bargarh project, not even 10 acres could be acquired. Located in Chitrakoot district, the Bargarh project envisaged three supercritical power units of 660-mw each. The project has a legacy of hindrances. It was earlier supposed to be set up by NTPC. However, the project was stifled over the quantum of electricity generation to be reserved for home state UP.

Bajaj Hindusthan, incidentally, is also coming up with a similar 1,980-mw project at Lalitpur in Jhansi district. This project has covered much ground and is likely to commission by 2015. Bharat Heavy Electricals in March 2011 was placed a Rs.5,450-crore order for supplying the main plant equipment for the 3x660-mw supercritical project.

The Lalitpur and Bargharh projects were amongst the 10 projects for which MoUs were signed during the erstwhile Mayawati-led Bahujan Samaj Party (BSP) government. With an aggregate capacity of close to 11,000 mw, these projects were expected to bridge Uttar Pradesh’s power deficit by 2015-16. It is pertinent to note that except for the Lalitpur project, not a single project has made any mentionable progress. All the nine projects are stuck for reasons relating to delayed land acquisition or absence of coal linkages, or both.

Untitled Document
Promoter Project Capacity
Himawat Power Bhognipur-I 1,320
Lanco Infratech Bhognipur-II 1,320
Bajaj Hindusthan Lalitpur 1,980
Bajaj Hindusthan Bargarh 1,980
Creative Thermolite Murka 600
Parekh Aluminex Barabanki 250
Unitech Auriya 250
Torrent Power Sandila 1,320
Welspun Power Mirzapur 1,320
Bajaj Hindusthan (Five locations) 450
Total   10,790
*Signed in 2010 by previous BSP government

At the time of signing the MoUs, the Mayawati government had imposed a condition on the 10 projects to secure coal linkages within 18 months. This deadline expired in June 2012, which fell in the present-day regime of the new Samajwadi Party (SP) government. It is learnt that the SP government has granted a further extension of 18 months for the projects to attain the coal-linkage milestone. The new government has also assured Jaypee Group of facilitating land acquisition for the 1,320-mw Karchana project.

Relocation: The Bajaj Group might consider shifting the Bargarh project as an extension of the under-construction Lalitpur project. For the Bargarh project, an SPV called Bajaj Power Generation Pvt Ltd was formed. The Lalitpur project is being implemented by another SPV Lalitpur Power Generation Company Ltd. The sugar-centric Bajaj Hindusthan is also implementing a series of coal-fired power plants of 90- mw each in the vicinity of each of the company’s five sugar mills.

With no additions to power generation capacity in recent times, Uttar Pradesh is facing a regressive power situation. In the first six months of FY13, the state’s power deficit worsened to 15.4 per cent (national metric: 8.5 per cent) from 8.9 per cent
Post Your RemarkYOUR REMARK
* Email :    
  Website :  



© 2017 Electrical Monitor. All Rights Reserved.