For the 1,000mw Cheyyur Thermal Power project in Tamil Nadu, preliminary investigations such as topography survey and rapid environment impact assessment study have been completed while the geo-technical investigation is nearing completion. Steps are also on to secure clearance from Tamil Nadu Pollution Control Board.

The Cuddalore and Krishnapatnam projects come under the mega show case power projects and NTPC southern region is presently conducting site-specific investigations. The feasibility report for all the three projects is currently underpreparation.

Hauling of coal is the basic problem with regard to these projects, say officials. It is likely that Cheyyur project will get coal linkage only from Mahanadhi Coalfields in Orissa which would mean transport of coal by over 700 km by rail. This is because Singareni Coalfields would not be in a position to offer coal linkage. In fact, for Ramagundam's seventh unit of 500 mw that is proposed to be set up, coal linkage has been obtained only from Western Coalfields though the other six units are sourcing coal from Singareni Coal fields which is hardly 30 km away. For Cuddalore and Krishnapatnam projects things are expected to be no different.

In addition, they have to contend with the problem of high ash content exceeding 30 per cent which, coupled with high freight rates and low calorific value, makes domestic coal uneconomical as a fuel. Apart from the cost aspect, high ash content would mean greater disposal problems as power plants are expected to use up to 15 per cent of the ash generated bythem as per the latest ash control guidelines. In comparison, imported coal has high calorific value with very low ash content and for a coast-based consumer the per kilo calorie cost works out considerably cheaper compared to domestic coal.

NTPC officials at the same time are wary of the domestic coal cartel which insists that even independent power producers with coal as a fuel use a certain proportion of domestic coal. In some cases the Government has put conditions asking power producers to use a certain percentage of domestic coal.

Considering all this, NTPC is also looking at the option of transporting domestic coal through sea, if required. But under the circumstances, it is likely that NTPC will insist on washed coal to reduce the ash content. NTPC has already said that it would be willing to fund setting up of coal washeries in joint venture with coal companies.

NTPC has drawn up plans to set up either a jetty or satellite port to receive the coal transported by sea. The exact source of coalwould come to light once the feasibility studies for the projects are completed, officials said.