The proposed ultra mega power projects (UMPPs) in Odisha and Tamil Nadu will be linked to the Union Government’s surplus coal policy as and when the policy is finalised.
According to Union Power Ministry sources, the invitation of initial bids for the upcoming 4,000-MW ultra mega power project (UMPP) each in Odisha and Tamil Nadu will come on time and a decision on the surplus coal policy will be linked to it.
The surplus coal policy will enable the use of excess coal from the mines allotted for a project to another project of the same company.
“So when the policy gets finalised, it will automatically be linked to the UMPPs. The EGOM (Empowered Group of Ministers) has also approved this proposal when it finalised the Standard Bidding Documents (SBDs),” the official said.
Some of the private power producers had expressed concerns over bidding for the proposed UMPPs, Bedabahal (Odisha) and Cheyyur (Tamil Nadu) as the surplus coal policy is yet to be finalised.