DIVERSIFICATION PLAN Law Kumar Mishra | TNN Dhanbad: The public sector company Coal India Ltd has decided to enter into power production and has signed three MoUs with different electricty boards in Uttar Pradesh, Chatisgarh and Tamil Nadu for setting up 1000 megawatt capacity plants in the three states. However, the implementation of the power projects would be taken up after three years as CIL has resolved to concentrate on increasing coal production, CIL chairman, Partho S Bhattacharya told the TOI on Monday. Bhattacharya said the different subisidiaries of CIL, like Southern Eastern Coal Fields Ltd, Northern Coal Fields Ltd, Mahanadi Coalfields Ltd have entered into agreements with the Uttar Pradesh Vidut Nigam, Chattisgarh state electricity board and Nevelli Lignite Power Corporation for setting up the power plants. Each of these power plants would cost Rs 5500 crore. Coalfields would be developed for exclusive use of coal for the new power plants. Power generation from these plants would be cheaper as the proposed power plants are expected to be located near the coal fields. Bhattacharya, however, said Coal India Ltd has decided to focuss on coal production for the next three years and the subsidiaries have been told to concentrate on achieving targets. "All resources would be put on maximizing coal production.' He said CIL has decided to stay away from the proposed power plants for the next three years, but the MoUs would be taken to their logical ends subsequently. The power generation would be kept on hold for the next three years. The Western Coalfields Limited of Nagpur has started wind power generation plant at Saoner in Maharashtra recently. There was " serious shortfall' of 9.35 million tonne in coal production by Eastern Coalfields Limited. This was mainly because of delay in finalization of tenders for the Rajmahal project. CIL had a target of 384.51 millions tonne last year, but actual production was 379.79 millions tonne. It has a target of 680 million tonne by 2011-12.