The Telangana State Generation Corporation (TSGenco) has formed two committees to study revenue generation from the sale of iron and other scrap and redeployment of staff in ageing thermal power plants respectively.
The constitution of the committees was seen as a step by the corporation to phase out over 30-year-old plants with high emission levels. Mainly, the corporation was likely to invite tenders to decommission identified plants after receiving the report of the panel, sources said.
The corporation has already closed down thermal power plant units up to a capacity of 300 MW. Another eight units with a capacity of 720 MW were scheduled for closure by this year-end. The board of directors of the corporation has already cleared the proposal. In fact, closure of such ageing plants was one of the conditions for clearance of the Stage VII 800 MW super critical unit of Kothagudem Thermal Power Station.
The Ministry of Environment and Forests had made some suggestions to the corporation to bring down the emission levels but the latter had expressed helplessness. The Ministry had in April this year denied permission to the over-30-year-old units to continue beyond December or else pay huge penalties if the emission levels went unchecked. In this context, the corporation came to the view that it was better to close down the units rather than bear the penalties.
Incidentally, all the high emission thermal units were located in Paloncha of Kothagudem district. Two units of KTPS here were closed in January and February last and another one much earlier in 2017.
The corporation tried to construct alternate stations with the expertise of Bharat Heavy Electricals Limited, but the plan fell through. Eight units of KTPS which have come up in initial four stages were all over 40 years old. They emitted huge quantities of fly ash.