Annoyed by one of its sources of energy supply not a carbon block is distributed in the last round of coal block allocation, Orissa has said the auction and allocation of coal blocks is leading to an unfair distribution of costs and benefits of coal mining and power generation with little benefit to it.
Although the state was looking Naini coal block, one of the 43 coal blocks allocated for PSU, which was given to Singareni coal mines Company Limited Telangana government two days ago. Orissa had formed a new supply of energy called Orissa Thermal Power Corporation in Dhenkanal to establish a 3X800 megawatt and 1X800 MW coal-firedplant and was looking carbon block Naini in Angul district with a proven 500 million reserve tons of coal.
OTPC, a 50:50 joint venture between Orissa Mining Corporation and Orissa Hydro Power Corporation, has already requested Chhendipada and -II Chhendipada distribution under the Government route. Unable to incur a 30 percent spending because of the issues by the guidelines Centre advising the authorities of the government projects incur no expense to the project work without obtaining environmental clearance. The project has so far acquired 60 percent of private land required and payment of the balance of 40 percent is in progress.
Disposal of 671 acres of government land, 8.7 hectares of forest land is in progress. All regulatory approvals have been obtained environmental clearance except due to unavailability carbon block. So far a cost of 216 crore rupees incurred.
In a letter to Secretary Anil Swarup carbon bond two days ago, Orissa energy secretary Suresh Mohapatra said that despite Orissa has nearly 27 percent of coal reserves, most coal is getting shipped out of state and an important part of the energy generated by these plants would also be sold outside the country. “Due to the growing problems related to land acquisition, environment and management of ash, much of the administrative state resources being spent to facilitate the development of these projects. This situation leads to an inequitable distribution of costs and benefits of coal mining and power generation.
