MoC wants MoP to soon bid out Jharkhand & Chhattisgarh UMPPs

In view of the sluggish development of the Mourya and Pindrakhi & Puta Parogia coal blocks, that are linked to the Jharkhand and Chhattisgarh UMPPs, the Ministry of Coal (MoC) has decided to take-up the issue of the selection of the developers for the two UMPPs with the power ministry so that the development of these coal assets can be put on fast-track. 

• The MoC took this decision during the recent review meeting of the progress of captive coal blocks, wherein it appeared that though these blocks were allocated to the SPVs of these UMPPs-- Mourya block to Karanpura Energy Limited for the additional UMPP in UMPP and Pindrakhi & Puta Parogia blocks to Akaltara Power Limited for the Chhattishgarh UMPP-- in the year 2009, nothing much happened regarding the development of these blocks pending the selection of the bidders for the power plants. The development of these coal blocks can only take place after that. 
• The MoC is particularly worried at the fact that even the submission of the bank guarantee (BG) for these coal blocks are pending despite the passage of one year after their allotment. While the Mourya block was allotted in June 2009, the Pindrakhi blocks were allotted in September last year.
• The bidding process for the Chhattisgarh UMPP has been delayed as the associated coal blocks fall under the 'no-go' area and await environment clearance, while the finalization of location is a concern for the additional UMPP in Jharkhand.
• Accordingly, the MoC will call on the power ministry to take necessary steps to expedite the bidding process for the two UMPPs.
• So far, the Centre has bidded out four UMPPs for adding around 12,000 MW of fresh generation capacity over March 2013 to June 2017. While the Krishnapatnam UMPP in Andhra Pradesh and Tilaiya UMPP in Jharkhand are being developed by the Anil Ambani-led Reliance Power, along with the Sasan UMPP in Madhya Pradesh, the Mundra UMPP in Gujarat is being implemented by Tata Power.