Maha govt sleeps over Tata, REL projects

  • 30/05/2008

  • Financial Express (New Delhi)

Tata Power and Reliance Energy are unable to bring the development the 1,600 mw and 4,000-mw power projects on fast track, thanks to the Maharashtra government's dillydallying over expediting the land acquisition process of these projects. The government, though, was striving to meet the ever increasing power demand in the state was not eager to push through land acquisition process at the cost of its survival. It took three years since the state government signed an MoU on April 4, 2005, to streamline the land acquisition process. The government has earmarked 579 hectares of land for Tata Power's 2,400 mw project. The company proposes to develop 1,600 mw in the first phase. The Reliance Energy would need 1,000 hectares for 4,000 mw power project, which comprises 2,800 mw of imported coal-based and 1,200 mw of gas- based units. Incidentally, these Companies have already received environment clearance from the ministry of environment and forests. Besides, Tata Power and Reliance Energy plan to source the coal from Indonesian mines that they have acquired. They have been scouting domestic and global suppliers for boiler turbine generator and the balance of plant. A senior state government functionary told FE.