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HomeIndia TakesHIGHER POWER RATES NOT TO HIT STATE UTILITIES

HIGHER POWER RATES NOT TO HIT STATE UTILITIES

egNEW DELHI: Consumers of Tata’s ultra mega power project (UMPP) and Adani’s power plant at Mundra in Gujarat might not see a major escalation in their procurement price after the Appellate Tribunal for Electricity (APTEL) gave its nod to include compensatory rate in the final rate of sale of power.

 

The beneficiary utilities in Gujarat, Haryana, Rajasthan, Punjab and Maharashtra are already buying power for Rs 3.61 to Rs 3.7 a unit, according to the annual revenue requirement reports submitted to state regulators.

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The levelised tarifforiginally offered by Tata’s imported coal-based UMPP is much lower at Rs 2.26, but after the compensatory tariff of 52 paise, it would work out to Rs 2.8. Power from Adani’s Mundra plant would cost Haryana Rs 2.39 after compensatory tariff the component and Gujarat Rs 2.09.

 

The 1,980-Mw plant was earlier offering levelised rates of Rs 1.96 to Haryana and Rs 1.38 to Gujarat. The plant, completely dependent on costly imported coal, got a breather from the government when it allocated 30 per cent domestic coal linkage to it in January this year. Paucity of domestic supply of coal and escalating price of imported coal led to the company petitioning the Central Electricity Regulatory Commission (CERC) to add compensatory rate in its final rate of power sale. CERC, in its February 2014 ruling, revised the rates by 43p for Haryana and 71p for utilities in Gujarat.

 

“After adding other variables, the final energy cost that Gujarat would pay to Tata would be Rs 2.9 to Rs 3 a unit. This is less than our average rate of power purchase, which is Rs 3.61 but higher than the rates offered by NTPC at its Korba and Vindhyachal power plants,” said a senior official of Gujarat Urja Vikas Nigam limited (GUVNL). He said GUVNL was procuring power from NTPC at Rs 2.25 because the three power plants are decades old, having less fixed cost burden.

 

“In comparison to the contemporary power plants, the rate of power offered by Tata Mundra is still quite competitive,” said an official of a utility in Rajasthan.

 

Tata Mundra UMPP has signed power purchase pacts with GUVNL, Maharashtra State Electricity Distribution Company, Ajmer Vidyut Vitran Nigam, Jaipur Vidyut Vitran Nigam, Jodhpur Vidyut Vitran Nigam, Punjab State Power Corporation, and Haryana Power Generation Corporation. Adani has power purchase agreements (PPA) with two utilities each of Gujarat and Haryana.

 

On Monday, APTEL upheld the decision taken by CERC in February this year, allowing Tata Mundra UMPP and Adani Power to charge compensatory tariff from consumers.

 

Compensatory tariff is added in the levelised tariff offered by a power producer, and is on account of variable costs such as fuel. In its petition to the CERC, Tata Mundra UMPP admitted that the cost of imported coal from Indonesia has increased and the state utilities buying power need to pay for the escalation in production cost.

 

Levelised tariff is the rate offered by the power project developers when they submit their bids. This is only a tariff to evaluate the various bids and decide a winner. Actual tariff differs on the basis of escalation of various tariff components, including fuel cost, at any point of time during the tenure of the PPA (23 years in case of both the power plants).

 

CERC had ruled the companies should be allowed to adjust the compensation arising out of increasing cost of domestic fuel and rising dependence on costly imported fuel.

 

Of the four UMPPs of 4,000 Mw each, being built across the country, Mundra and Krishnapatnam (Reliance Power) are sourcing imported coal for their fuel requirement and their levelised tariff are Rs 2.26 per unit and Rs 2.33 per unit, respectively. The other two, Sasan and Tilaiya, both built by Anil Ambani-promoted Reliance Power, have their captive coal mines.

 

UMPPs were announced in 2006 with an aim to scale up power generation in the country.

Gujarat to compare energy costs and then decide

 

A senior executive at Gujarat Urja Vikas Nigam Limited (GUVNL) said as the state has excess power and is host to both Mundra UMPP and power plants of NTPC, it will see if the power purchased from UMPP fits it bill. “Our major criteria is energy charge and fuel cost. We get power from NTPC at cheap rates. The purchase from UMPP would depend on our demand and comparatively better incentive in the power purchase agreement we have signed with several power producers,” said a senior executive. Gujarat and other states are yet to take a decision on an appeal against the APTEL order. The appellate regulator’s order can be challenged only in the Supreme Court.

(Source: Business Standard, July 23, 2014)

 

POWER MINISTRY TO SET TIME-BOUND PLAN FOR MAJOR SECTORAL OVERHAUL

 

NEW DELHI: The power ministry is planning a major overhaul of the sector with a time-bound plan to reform tariff and ensure fuel supply to stranded plants and improve rural supply the way it was done in PM Narendra Modi’s native state of Gujarat.

 

Power, coal and renewable energy minister Piyush Goyal is also pushing for electrification of the remaining 5.6 crore households that are still outside the grid, reduction of technical and commercial losses to 15% by 2022, increasing hydroelectricity generation. Goyal is keen to follow the Gujarat model in rural areas to improve the finances of distribution firms. In Gujarat, the government has ensured that heavily subsidised power is used only in fields. This has been achieved by supplying rural households with a separate line and charging them normal rates for power that is not used in agriculture.

 

Goyal has held several meets with power producers, financial institutions, fuel suppliers, officials of state firms and other ministries.

 

After the meetings, the power ministry identified relevant areas to turn around the ailing electricity sector. Power ministry has roped in two additional secretaries to spearhead the soon to be designed action plan to be reviewed weekly. Power ministry will actively involve ministry of new and renewable energy for rural electrification and electrifying 5.6 crore households through a mix of conventional and non-conventional energy.

 

“As per the envisaged action plan, ministry of power will closely work with ministry of environment and forests, Central Electricity Authority, central PSUs and state governments concerned besides Cabinet secretariat among others. The initiatives and actions will be monitored on weekly basis by the power secretary who will update the minister regularly. Major thrust will be given to increasing ministry’s coordination with state governments and their utilities,” said a power ministry official familiar with the development. He added that having single minister for power, coal and renewable energy will make it easier for the ministry officials to resolve issues with relevant ministries.

 

Despite rapid expansion of India’s power generation capacity, the annual per capita electricity availability is less than 1,000 units that is much less than the developed and even comparable economies. The state controlled utilities have accumulated losses to the tune of Rs 2 lakh crore, while power producers are bleeding due to delays in project execution and availing firm fuel linkages. Lack of transmission network has also created inequalities in access to electricity in parts of India.

 

The power ministry is giving high priority to amending the tariff policy and Electricity Act 2003 to ensure accountability and independence of regulatory commissions, timely tariff determination and stronger enforcement of renewable power purchase obligation.

 

As the power sector is governed by both the Centre and states, the ministry aims to work closely with states governments and support them in modernising transmission and distribution systems and improving the bill collection system. It has set a target of bringing down technical and commercial losses of electricity to 15% by 2022, from more than 40% now, by incentivising and penalising the state utilities.

 

Power ministry will encourage states to undertake best practices such as promotion of pre-paid metering starting with government buildings. It is aiming to tap the hydro power potential of hilly states of Arunachal Pradesh, Himachal Pradesh, Uttarakhand and Jammu & Kashmir with steps to speed up project implementation. By working closely with ministries of coal, petroleum and environment, it wants to increase access to higher domestic coal and natural gas.

(Source: The Economic Times, July 23, 2014)

 

HYDRO POWER OUTPUT CONTINUES DOWNWARD TREND

 

NEW DELHI: Insufficient rainfall in the country has crimped hydro power output, which slumped by a fifth over the weekend from a year ago, continuing its downward trend.

 

On July 20, the load dispatch system received 418 million units of hydro power, which was almost 20% less compared with the 515 million units generated on July 20 last year, according to data from the National Load Dispatch Centre. Data show that hydro power generation has been falling from the 468 million units reported on July 14.

 

Experts attribute the downtrend to the weak progress of monsoon rains in parts of India that together account for about 44,000 mw of hydro power generation capacity. Experts say the gap in output when compared with 2013 could have been wider if hydel projects on snow-fed rivers had not received more water due to a severe summer. On Sunday, hydro projects in the north reported generation of 277 million units compared with 271 million units the same day a year ago.

 

“At this point of time, snowfed rivers enabled hydro power projects to maintain their normal generation, as temperature melted glaciers to fuel the plants,” Himachal Pradesh Energy Development Agency CEO Bhanu Pratap Singh told ET.

 

“However, we may face challenges in next season if the monsoon and winter do not result in good level of snowfall.” Singh said hydro power projects based on rain-fed rivers might be witnessing lower generation. In western India, where hydro power plants are dependent on rain-fed rivers and irrigation projects, power generation noseddived to only 10 million units on July 20 compared with 68 million units on the same day last year.

(Source: The Economic Times, July 23, 2014)

 

GOVT’S PLAN TO SEGREGATE POWER SUPPLY MAY NEED RS1 TRILLION

 

NEW DELHI: The National Democratic Alliance (NDA) government’s plan to supply electricity through separate feeders for agricultural and rural household consumption, aimed at eventually providing round-the-clock power, may require an investment of around Rs.1 trillion—20 times the amount the centre has budgeted this year.

 

State-owned Rural Electrification Corp. Ltd (REC) will be the agency tasked with executing the project named after the late Deen Dayal Upadhyaya, a leader of the erstwhile Bharatiya Jana Sangh, the forerunner of the Bharatiya Janata Party. In addition, the initiative also involves strengthening sub-transmission and distribution systems. A note sketching out the contours of the project will be submitted to the cabinet shortly for approval.

 

“An investment of Rs.1 lakh crore is required for the scheme,” said a person aware of the investment requirements. The person requested anonymity.

 

Central Electricity Authority (CEA), the apex power sector planning body, has already conducted a study on the proposed initiative. This investment, spread over five years, is aimed at reducing India’s aggregate transmission and commercial (AT&C) losses by 5 percentage points from the present level of 27%, which will be sufficient to recoup the investment.

 

“The discussions are on with the state governments and their requirements for rolling out the Deen Dayal Upadhyaya Gram Jyoti Yojana for feeder separation announced in the Union budget,” said a government official who also didn’t wish to be identified.

 

“The programme includes feeder segregation and an integrated model. According to CEA’s preliminary estimates and its study, an investment of Rs.1 lakh crore is required for the same. A final number will emerge when a cabinet approval will be sought for the same,” said the official. A second official confirmed the plan.

 

Mint reported on 24 June about the plan, based on an initiative called Jyotigram Yojana in Prime Minister Narendra Modi’s home state of Gujarat, which the NDA proposes to extend to all states to ensure around eight hours of quality power supply to agricultural consumers and 24-hour electricity to households.

 

The proposed investment will benefit companies across the entire power ecosystem—companies that manufacture electric conductors, transformers, insulators, poles, towers and capacitors—in addition to construction contractors.

 

“The plan to supply electricity through separate feeders for agricultural and rural household consumption aimed at providing 24×7 power offers a huge opportunity for the associated equipment component suppliers and EPC (engineering, procurement and construction) contractors,” said Amol Kotwal, associate director, energy and power systems practice, for South Asia and the Middle East, at consulting firm Frost and Sullivan.

 

Separating electricity feeders will ensure that while farmers get the desired amount of electricity, the quality of power and its availability for households improves. It will also ensure that users are billed and there are reduced technical and commercial losses because of theft.

 

“Power is a vital input for economic growth and the government is committed to providing 24×7 uninterrupted power supply to all homes. Deen Dayal Upadhyaya Gram Jyoti Yojana for feeder separation will be launched to augment power supply to the rural areas and for strengthening sub-transmission and distribution systems. I propose to set aside a sum of Rs.500 crore for this purpose,” finance minister Arun Jaitley said in his 10 July budget speech.

 

The minister said additional money for various projects proposed in the budget would be allocated as and when the need arises.

 

While India has an installed power generation capacity of 249,488.31 megawatts (MW), it faced a peak deficit of 3.7% in June. Analysts say the data doesn’t capture the real demand. The lowering of the deficit is due to the unwillingness of the state boards to buy enough power because they cannot afford to do so.

 

Queries emailed to a power ministry spokesperson on Sunday evening remained unanswered as of press time on Tuesday.

 

A fourth person aware of the plan said on condition of anonymity: “With the targeted reduction in AT&C losses by 5%, this money will be recovered in five years. The CEA study is complete.”

 

According to the World Bank, India’s per capita power sector consumption, around 800 kilowatt hour, is among the lowest in the world. Around 600 million Indians do not have access to electricity and about 700 million Indians use biomass as their primary energy resource for cooking, according to the Planning Commission.

 

Despite the subdued energy consumption, the electricity subsidy numbers have been rising.

 

“Overall subsidy dependence for FY 2014-15 for distribution utilities in the 16 states (based on the allowed subsidy levels in tariff orders) has also shown an increase by 17% over the previous FY, mainly on account of upward pressure on cost of power supply and continued subsidized nature of tariffs for agriculture consumers,” rating firm Icra Ltd said in a 22 July report.

 

“On all-India basis, subsidy dependence for the state owned distribution utilities for FY 2014-15 is estimated in the range of Rs.720 billion, which is estimated to have increased at CAGR (compound annual growth rate) of 16% since FY 2010,” Icra said.

 

The new government is trying to attract investors back to the power sector, which has been set back by slowing economic growth, costly loans, delayed land acquisition and environmental clearances and fuel shortages.

 

“Feeder separation is an excellent idea that has been already implemented successfully in several states and is one of the critical solutions for long term viability of the country’s distribution companies. Further, it will be a huge opportunity for the large electrical engineering industry in India for supply of poles, conductor, transformers, etc,” said Pratik Agarwal, head, infrastructure business, Sterlite Technologies Ltd.

 

Experts welcome the government’s plan, noting that it is modelled on a programme that has been successfully rolled out in Gujarat.

 

“This is a proven scheme and has improved the quality and reliability of power to the agricultural consumers,” former power secretary P. Umashankar said. “It should be taken up for implementation in those states where agricultural consumption is more than 20% of the total electricity consumption.”

(Source: Mint, July 23, 2014)

 

 

NTPC ASSURES SUFFICIENT COAL STOCK AT ODISHA PLANTS

 

BHUBANESWAR: NTPC Ltd, which operates three coal-fired power plants in Odisha with installed capacity of 3460 Mw, said it has no coal supply problems from coal miner Mahanadi Coalfields Ltd (MCL).

 

“We have enough stocks to run our plants. There is no coal supply issues as of now,” said an official of NTPC looking after Odisha plants.

 

Recently, Central Electricity Authority (CEA) of India had said that 46 out of 100 electricity generation stations in the country have fuel stock of less than 7 days.

 

The NTPC official said he was not aware of power plants situated in neighbouring states,which also supply power to Odisha.

 

“There might be some supply problems from outside Odisha plants due to coal supply issues,” the official said.

 

The state gets a share of 1523 Mw power supply from NTPC-operated units of Odisha and neighbouring states.

 

Currently it is getting around 1100 Mw power from the top producer of thermal power due to maintenance of some units at Kahalgaon and Kaniha plant.

 

NTPC sources coal primarily from MCL operated mines situated in the state.

 

Between June 25 and July 15, the miner had difficulties in coal production at its key sites due to local opposition that led to daily output loss of nearly 100,000 tonne.

 

The protest started because villagers near coal mines were demanding to shift to an area other than a place recommended by MCL. When MCL did not respond to their requests, the villagers blocked the area and thereby disrupted transportation from the sites.

 

Though the miner has resumed operation, it still fears the same problem could arise further. “If the people do not vacate their dwellings units by October and relocate to a place identified by the company, then MCL would have no other option but to close down the mining operations again in the area,” the Coal India subsidiary has said in a statement earlier this month.

 

NTPC said though it faced supply disruption for a brief period of time during the blockade, it is getting regular coal supply since then for its Odisha plants.

(Source: Business Standard, July 23, 2014)

 

AP TRANSCO LINES UP RS 1900 CRORE TO IMPROVE POWER SUPPLY

 

VISAKHAPATNAM: AP Transco is spending Rs 1,900 crore to set up new and high capacity substations in the jurisdiction of Andhra Pradesh Eastern Power Distribution Company Limited (EPDCL), according to its director (operations) P Rammohan.

 

The move is aimed at transferring bulk power for long distance to cut down losses. It would also improve power supply and to meet the future demand, he said.

 

Two sub-stations of 400 KV, six new sub-stations of 220 KV, 30 sub-stations of 132 KV and enhancement of power transformer capacities at 32 sub-stations have been proposed in the five districts of Srikakulam, Vizianagaram, Visakhapatnam, East Godavari and West Godavari, he added.

 

The work on these projects is expected to be completed in 12-18 months, according to him.

 

At present, the technical losses in the EPDCL jurisdiction is about 4 per cent. This is likely to come down to 3 per cent upon completion of these projects, he said.

(Source: Business Standard, July 23, 2014)

 

 

ROOFTOP SOLAR POWER GENERATION, THE WAY TO GO

 

NEW DELHI: Last month, the Australian State of Queensland witnessed a historic event. Electricity prices dipped to near zero. The reason: solar power generation by individual buildings decreased the demand for electricity from coal-powered plants.

 

While solar generation may have become viable in Australia, India still has a long way to go as the challenges are numerous — infrastructure and lack of connectivity among others.

 

However, the same challenges also provide a huge opportunity for solar power in regions facing poor grid access.

 

Despite abundant raw material — sunshine — the country has still not been able to scale up solar power production, since focus still remains on generation from fossil-fuels. The country currently generates about 2,700 megawatts (MW) of solar power (mainly PV, and 50 MW of solar thermal. Another 100 MW of thermal is waiting for proper sunshine), a miniscule fraction of the installed capacity of 249.488 gigawatts (GW).

 

India aims to add about 1,100 MW this year to the solar capacity. By 2020, the country aims to have over 20,000 MW of solar power, still lower than its actual potential of 1,00,000 MW, according to the Ministry of New and Renewable Energy.

 

Besides, infrastructure tariff is an issue with this source of energy. Currently, solar power tariffs stand at about Rs. 6.50-7.50 a unit after an about 30 per cent subsidy. Without subsidy, the rates would be about Rs. 10/unit.

 

Chandra Bhushan, Deputy Director General, Centre for Science and Environment (CSE), said, “The issue with coal is there are a lot of externalities — such as pollution, forest destruction and cheap land — that are not calculated by traditional economics, which are a form of subsidy.”

 

Currently, the cost of producing power from coal is almost a third of that from solar.

 

However, a study conducted by GreenPeace estimates, “Assuming a fairly conservative five per cent per annum reduction in the cost of solar power and a six per cent per annum increase in grid prices, parity will be reached in all the tariff segments by 2018.” Following this, grid prices are actually likely to go up. Anand Prabhu, Energy campaigner, Greenpeace, said, “The coal sector gets direct and indirect subsidies right from coal mining, transportation, land acquisition and generation, it goes the same for renewable energy technologies as well. Even if the direct subsidies are nullified for both (coal and renewable power), still the renewable technologies such as wind and solar end up being cheaper in the present and long run as coal-based power continue to get expensive in the future.”

 

While the Government is keen on developing Ultra Mega Solar Power Projects, the industry believes the true potential lies in setting up solar panels on rooftops to generate electricity on a smaller scale. This is also the model that has become popular in developed countries.

 

Echoing similar thoughts, Piyush Goyal, Minister of State for New and Renewable Energy, recently told Parliament, “The Delhi Government is taking steps to promote the grid-connected solar rooftop power…include formulation of a solar policy for Delhi, issue of suitable orders on solar power tariff, net metering and grid connectivity by the regulator.”

 

The Indian Solar Manufacturers Association also points to the viability of the rooftop market but said that incentives such as rebate on electricity bill and property tax help give a further fillip to the industry.

(Source: Business Line, July 23, 2014)

 

RAILWAYS TO TAKE GREEN ROUTE TO BRING DOWN POWER, FUEL BILL

 

In line with suggestions received from the Prime Minister’s Office, the Indian Railways is all set to give a push to its plans to generate renewable energy.

 

The national transporter is planning to generate 20% of its total energy requirement from solar and wind energy over the next couple of years.

 

The plan is a part of the railways’ aim to become self-sustainable in energy in six-seven years, thus helping it reduce its fuel bill by nearly 45-50%. The Indian Railways already has two 2,300-megawatt (MW) thermal plants in the pipeline, while a 1,400-MW nuclear power plant is yet to be cleared by the Cabinet.

 

To go ahead with the Indian Railways’ push for renewable energy, a blueprint to generate 800 MWs from solar and wind plants is already in the works. At present, Indian Railways requires 4,000 MWs of power. “We’ll be generating 500 megawatts of solar power this year at our railway stations. This will be done through a public-private partnership (PPP). We’ll also be generating 200 MW through wind energy this year. Next year also, we’ll do some projects on PPP to generate renewable energy. So, in two to three years, we should be generating around 800-1,000 MWs of clean energy,” a railway board official said on condition of anonymity. At present, the railways has almost 38% (24,800 km) of its network electrified that carries almost 67% freight traffic and 51% passenger traffic.

 

The annual power and fuel bills of the Indian Railways best reflect the need to electrify its network and become self-sustainable in energy.

 

Its annual power bill at present is R10,880 crore and diesel bill is around R22,000 crore.

Rakesh Mohan Committee on Transport has also recommended that the railways should electrify its network aggressively if it has to cut its fuel bill. “Railways get electricity from state electricity boards at an average price of R6 per unit. We have two thermal power plants in partnership with NTPC. The 1,000-MW plant in Nabi Nagar, Bihar, will become fully operational by 2015. The 1,300-MW plant in Andhra, West Bengal, is waiting to get coal block linkage. Once these plants start working in full swing, electricity would cost around R3.5 per unit. We are also planning a 1,400-MW nuclear power project in collaboration with the Nuclear Power Corporation. The sites are being explored,” the official added. The newly constituted Railway Electric Management Company, a joint venture with RITES, has been given the mandate of coming out with innovative solutions for using energy efficiently.

(Source: The Financial Express, July 23, 2014)

 

 

COMPANIES FORCED TO RETURN COAL BLOCKS TO GET PRIORITY IN SUPPLY

 

KOLKATA: Companies that were forced to return allocated coal blocks will get priority in supply from state-run Coal India, according to a senior official.

 

The decision was taken at a recent meeting of the coal ministry. According to a senior coal ministry official, some 41 coal blocks were deallocated due to delays, including tardy progress in environment clearances. The companies they were allotted to would require about 22.14 million tonnes of coal to run their plants. Of this, 6.16 million tonnes would be for power utilities, 6.16 million tonnes for captive power plants, 4.46 million tonnes for sponge iron plants and 5.63 million tonnes for cement plants.

 

In view of the coal shortage in the country, the ministry has decided to give top priority to plants whose supply volumes were reduced after blocks were allocated.

 

Supply contracts that are automatically scaled down because plants have been allotted blocks are termed `tapering linkages’. Coal supplies under such linkages automatically stop after three to four years. According to the official, next on the priority list will be plants that were granted tapering linkages after a coal block was allocated to them.

 

Third on the list will be companies that held blocks as a consortium but their blocks were de-allocated because the principal holder did not make adequate efforts to develop them.In the second and third categories, priority will be given based on the extent of financial exposure of the companies as assessed and recommended by their respective ministries.

 

The coal ministry’s meeting was attended by officials from the ministries of finance and steel, the Planning Commission and Coal India.

 

“The under principle shall be that preference would be given to the running plants. Independent power plants that come within this list are, however, being treated separately and they would be excluded from this list for the purpose of deciding the priority . This is expected to help ensure coal supply to sponge iron plants and cement plants that have not been granted any fresh coal supply contract since 2007.

 

Captive power plants will, however, be excluded from this list, as 49% of the power generated by these units can be sold through open access and captive power plants can purchase power from open market through bidding,“ a CIL official said.

(Source: The Economic Times, July 23, 2014)

 

MAHANADI COALFIELDS TO REINSTATE 122 EMPLOYEES

 

NEW DELHI: Mahanadi Coalfields Ltd, a CIL subsidiary, has agreed to take back all the 122 employees in Odisha whose services were terminated for not vacating the land in lieu of which they were given employment.

 

“As a goodwill gesture, Mahanadi Coalfields Limited (MCL) has agreed to reinstate in service all the 122 Hensmul villagers without the pre-condition of submission of affidavit that that they will immediately vacate their dwellings,” MCL said in a statement. The villagers will have to handover their land and vacate their structures by the October-end, the company said.

 

MCL said it has agreed to reinstate the employees without the break in service as well as rehabilitation to a new site following tripartite meetings held between its management, villagers and the district administration.

 

The Coal India Ltd’s arm had terminated services of these employees for “violating” the terms and conditions of the appointment, on recommendations of a Odisha government panel. MCL had alleged that these employees, who were inducted in the company in lieu their land were not only “obstructing coal mining operations for their vested interests” but were not ready to vacate the land at villages Hensmul and Jalinda despite the company acquiring it way back back and recruiting them between 1995 and 2005. Mahanadi Coalfields is the youngest, but the second highest coal producing subsidiary of CIL.

 

About 60 per cent of its production comes from the mines in the Talcher Coalfields, the largest coalfields in India.

 

The company had earlier said that it has provided about 11,292 jobs to the land losers till December, 2013. Mahanadi Coalfields, which was carved out of Coal India arms SECL and CCL in 1993, has 22,278 employees as of date.

(Source: Business Standard, July 23, 2014)

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