Centre allots part of Bengal captive coal mine to KPCL

The Karnataka Power Corporation Limited (KPCL) has got one of its biggest hauls in the last three decades: A captive coal mine in Deocha-Pachmi block, Birbhum coalfield, West Bengal.

The mine, which has a geological reserve of 2,025 million tonnes (MT), has been partially allotted to the KPCL by the Union Ministry of Coal.

According to KPCL officials, the terms and conditions of the deal specify that the power corporation can extract a maximum 382 MT of coal from the mine.

The mine will now supply quality coal for three of the proposed new thermal power projects in the State – Bellary Thermal Power Station (BTPS) Unit 3; and Yadlapur and Yermarus power stations in Raichur district.

Sources said coal from the mine will be utilised for the projects and the previous coal linkages from Coal India Limited will continue for the old power plants like BTPS (units 1 and 2) and the Raichur Thermal Power Station.

The captive mine is likely to ease pressure on the State to purchase coal from the open market for the next 25 to 30 years, the sources said. At present, for the two thermal units of RTPS and BTPS, the State is utilising 81 MTs of coal per year.

Environmental clearance

However, the final hurdle for the KPCL to extract coal from the Bengal mine is yet to be cleared. Sources said the Energy department was yet to receive an environmental clearance with regard to the ash and sulphur content required for the power plant.
It is said that the State may have to utilise a rail-sea-rail mode of transportation for the time being. The doubling of rail tracks along the West Bengal-Karnataka route may take no less than three to four years.

Speaking to Deccan Herald, Additional Chief Secretary (additional charge) for Energy, S K Pattanayak said the mine would help the State in providing better quality power for the next few years.

“We expect the mine to be fully functional in the next two to three years. With the captive mine at its disposal, the State can expect better quality coal for its power plants,” he said.

He said the coal now procured by the State from the open market had no guarantee of quality and quantity.

With the captive mine in its kitty, the energy department hopes that the Yeramarus and BTPS Unit 3 will be fully functional from 2015-16. “The total capacity of these three units, two in Yeramarus and one in BTPS, will be close to 2,300 MW. This should be functional in the next three years,” said Pattanayak.