The Hindu : Front Page : Manmohan to lay foundation for 2 NLC projects tomorrow

Online edition of India's National Newspaper
Friday, Feb 03, 2006

Front Page

Front Page

Manmohan to lay foundation for 2 NLC projects tomorrow

T. Ramakrishnan

They will be implemented at a total cost of Rs. 4,190 crore

NLC thermal power station.

CHENNAI: The Neyveli Lignite Corporation's expansion projects — Mine-II and Thermal Power Station-II — are likely to be completed by 2008, according to S. Jayaraman, Chairman and Managing Director.

The capacity of Mine-II will be increased from 10.5 million tonnes per annum (MTPA) to 15 MTPA. An additional 500-megawatt of power (two units of 250 MW) will be generated at TPS-II. In October 2004, the Centre cleared the two projects, whose total cost is estimated at Rs. 4,190 crore.

Prime Minister Manmohan Singh will lay the foundation stone for the projects at a function at Neyveli on Saturday. He will also launch the golden jubilee celebrations of the Corporation, which was formed in November 1956.

Pointing out that contracts for the projects had already been awarded, Mr. Jayaraman told The Hindu over phone on Thursday that the TPS-II expansion project would employ German technology. "Combustion level will be almost 100 per cent. Emission levels will be minimal. They will conform to Euro special norms." The proposed plant would have higher efficiency.

The new units would cater to the needs of the southern region. Tamil Nadu's share of the 1,470 MW TPS-II would be 441 MW.

(A senior official of the Tamil Nadu Electricity Board said that the Union Power Ministry usually allocates 30 per cent of the Neyveli power to the State. This principle may be adopted in the case of the new plant, too.)

About NLC'smine-cum-power project in Bikaner district of Rajasthan, Mr. Jayaraman said it would also be completed by 2008. The present plan was to produce 2.1 MTPA and 250 MW.

With implementation of all these projects, NLC's lignite mining capacity will go up from 24 million tonnes to 30.6 million tonnes and power generating capacity from 2,490 MW to 3,240 MW. Asked about NLC's proposal to take up the Jayamkondan lignite power project on its own, Mr Jayaraman said, "We are awaiting the consent of the State Government."

The project envisages lignite production of 8 million tonnes and power generation of 1,000 MW in the first phase.

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