Govt draft soon on coal use by R-Power

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Press Trust of India: New Delhi, Dec 28 2012, 03:53 IST
The power and coal ministries will soon prepare a draft on modalities for monitoring safeguards related to Reliance Power's utilising excess coal from the blocks allocated for Sasan UMPP, for its project in Chitrangi.

Officials from the two ministries today held discussions on the issue.

“We discussed certain things. The focus is that Sasan Ultra Mega Power Project (UMPP) has the first right on usage of coal from the blocks allocated for the project,” a senior power ministry official said after the meeting.

A draft in this regard would be prepared soon in consultation with the coal ministry, he said.

Sources said the meeting was to discuss a suitable mechanism to monitor the safeguards stipulated by the EGoM about utilisation of incremental coal from Sasan blocks for the Chitrangi project.

In April, an EGoM headed by the then finance minister Pranab Mukherjee had decided not to review the earlier decision allowing Reliance Power to use excess coal from the Sasan UMPP mines for the Chitrangi project.

Both Sasan and Chitrangi projects are in Madhya Pradesh. The first unit of Sasan UMPP is expected to be commissioned in the next few weeks.

“We stand by that decision (in 2008)... We cannot review decisions of the past but we can certainly look at the implication of those decisions in changing circumstances and what we need to do in the future," the then law minister Salman Khurshid had said after the EGoM meeting on April 28.

Khurshid had said the Attorney General had given an opinion that “surplus

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