The Telangana power utilities are confident of securing environmental clearance for the proposed 1,080 MW (4X270 MW) thermal power plant at Manuguru in Khammam district soon.
Senior officials of the utilities made an elaborate presentation on the project to the expert committee deputed by the Ministry of Environment and Forests on January 20. The confidence of the officials stems from the fact that the members of the expert panel did not seek any clarifications relating to the project and assured them that their views would be incorporated in the minutes of the meeting expected to be prepared within a week.
“This is a favourable development. We are hopeful that the indication about the clearance will come in the minutes,” a senior official told The Hindu . The project faced initial obstacles after the Union Ministry had delisted it citing use of the sub-critical technology and rejected approval as the proposed power plant went against the Government’s policy of encouraging super critical technology projects.
The State Government had subsequently addressed a letter to the Union Power Ministry claiming that the project had been launched during the XII Plan period itself while the Centre had proposed to allow (commission) super critical technology projects during the XIII Plan period, starting April 1 this year. The Union Ministry subsequently communicated its ‘no objection’ for the establishment of the coal-based thermal power plant with sub-critical technology subject to its completion by December this year.
Tariff uncertainty
Meanwhile, the uncertainty over whether the utilities would propose tariff hike for the next year continues as there was no clarity on the quantum of subsidy that would be extended by the Government. Senior officials said they were waiting for a meeting with Chief Minister K. Chandrasekhar Rao for clarity to evolve in this direction.
Officials said if the Government agreed to bridge the gap between the revenue earned and the costs incurred on account of various factors, including operational and employee costs, there was no scope for proposing hike in tariff. The Government had sanctioned huge subsidy of Rs. 4,382 crore which had been paid in 12 equal instalments over the last one year. “It all depends on the quantum of subsidy that will be extended,” the official said.
