UP may lose 4,000-mw project to MP

Written by Press Trust of India | Lucknow | Updated: May 1 2010, 04:08am hrs
Uttar Pradesh might lose on NTPCs proposed 4,000 mw ultra mega power project to neighbouring Madhya Pradesh due to problems in acquiring land and water for the project.

The proposed project was to be set up by the National Thermal Power Corporation (NTPC) in the Bundelkhand region of UP at an investment of Rs 24,000 crore. The NTPC is considering setting up the project on the Madhya Pradesh side of Bundelkhand following UP governments reluctance over giving a commitment for availability of land and water for it.

We may set up the plant at Barethi in Mahiyar district in the Bundelkhand region of Madhya Pradesh, as they have agreed in principle to provide land and water to it, NTPCs regional executive director IB Pandey said on Thursday. Pandey said initially NTPC was keen on setting up the project at Bargarh region of UP but the state government was not giving a clearance for providing land and water for the project.

UP has also demanded 100%, of the power to be generated by the project, whereas rules permit only 30% of power to the state where a plant is situated and beyond that it has to be decided by the union government, Pandey said.