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REL’s Shahapur project clears green hurdle

Sanjay Jog
Posted online: Wednesday, December 12, 2007 at 00:00 hrs
Updated On: Wednesday, December 12, 2007 at 00:23 hrs


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The ministry of environment and forests (MoEF) has given environment clearance for Reliance Energy Ltd's (REL) 4,000-mw power project at Shahapur in Maharashtra.

REL plans to develop the project through its arm, Maharashtra Energy Generation Ltd (MEGL). The company, which had originally planned a 4,000-mw coal and gas-based project as per its MoU with the government dated April 4, 2005, has split the project into two following the Maharashtra government's direction. MEGL had originally proposed to implement the project at an estimated cost of Rs 12,000 crore, of which about Rs 218 crore was earmarked for putting in place environment protection measures stipulated by the MoEF.

Shahapur, the company will set up a 2,400-mw imported coal-based project on 2,400 acres and is in the midst of looking for a land for a 1,200-mw gas-based project in the vicinity of the Shahapur site and also in rest of Maharashtra.

According to sources, "The ministry has laid down several conditions which include regular monitoring of groundwater quality; full utilisation of fly ash, which would be collected in dry form; no new ash pond to be constructed but, in case of emergency, an ash dyke to be used; and separate funds to be allocated for implementation of environmental protection measures."

The water requirement is estimated at 200m3/day, which will be obtained from the Amba River.

As earlier reported by FE, the company has already submitted the relief and rehabilitation package to the state government authorities. Meanwhile, the company is weighing various options of procurement of coal. Apart from Indonesia, where a lot of cola mines are on offer for sale, the company is open to source coal from Australia. It has also received offers from South Africa and Mozambique.

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