Coal linkages to supercritical power projects in India on priority

Monday, 05 Apr 2010

Business Standard reported that the Indian ministry of power is looking to clear swiftly coal linkages for projects based on supercritical technology.

According to top officials in the government, supercritical power projects would get linkages to coal mines on a priority basis compared to projects based on sub critical technology.

Mr HS Brahma secretary ministry of power said that we are looking to encourage supercritical technology and planning initiatives for that. The government is already planning to increase the presence of supercritical power generation in the country.

According to the Central Electricity Authority, India is constructing 38 supercritical units, some of which to be commissioned during the Eleventh Five Year Plan period. About 60% of the thermal power generation capacity in the Twelfth Plan period could come from supercritical technology. For the Thirteenth Plan, the entire coal-based capacity is expected to be on supercritical technology.

Industry experts said that the government plans to exceed its target of supercritical technology based power in the Eleventh Plan itself, which is why it is offering these incentives.

Mr Hitul Gutka analyst of India Infoline said that fuel is the most critical part of the value chain. This is a method of advertising supercritical technology to power companies. He said that the move to make coal linkages available easily would encourage smaller companies to embrace this technology.

Mr Rupesh Sankhe analyst of Angel Broking said that supercritical power plants produce higher levels of heat rate and reduce fuel consumption. Carbon emissions are less and coal handling and ash handling equipment size small. The plant load factor is also better in supercritical technology. He said that there is a risk for power producers in terms of coal shortages. Next year there could be coal shortage to the tune of 45 million tonnes to 50 million tonnes.

(Sourced from www.business-standard.com)

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