BHEL fined Rs 250 cr for glitch in RTPS

The State government has issued a notice to the Bharat Heavy Electricals Limited (BHEL), slapping a fine of Rs 250 crore for the technical flaws in the construction of unit 8 of the Raichur Thermal Power Station (RTPS), said Energy Minister Shobha Karandlaje.

She told reporters on Saturday that unit 8 had been suffering a loss of 250 MW daily for the past year and a half, due to the technical glitch in the construction of the unit.

As BHEL was responsible for the construction and maintenance of unit 8, the State government had slapped a fine of Rs 250 crore for the loss so far, she said.

Also, the company has been directed to bear the maintenance cost of the unit 8 and ensure that it begins power production in two months, she added.

As the government has already entered into an agreement with BHEL for the construction of unit 3 of the Bellary Thermal Power Station and Yeramarus Thermal Power Station, it could not be retract. However, BHEL would not be given new projects, the minister said.


For the modernisation of units one and two of RTPS, Karandlaje said the State government had already sanctioned Rs 12 crore. Technical experts had ascertained that unit one could function for another 35 years.

As similar modernisation efforts are underway in Gujarat, officials have been directed to visit that state to have a first hand knowledge of the technical know-how, the minister said.

As the Central government has made it mandatory for all states to produce 200 MW of power through solar energy by 2016, the State government has already completed the tender process for the production of 80 MW of power, she said. Also, the government is contemplating on constructing a solar energy park in Bijapur district, she added.

Coal crisis

The confusion over distribution of coal could be resolved if states got control of coal mine fields instead of private contractors, who are responsible for the current crisis, the minister said.

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