Delhi HC seeks govt’s response on Reliance Power’s plea to mine coal beyond approved cap
Reliance Power says that present cap on coal mining was not enough to carry out operations at Sasan UMPP till the end of this financial year and an additional 2 MTPA should be allowed tto avoid the ‘threat of a shutdown’
New Delhi: The Delhi high court on Tuesday asked the Centre to respond to Reliance Power Limited’s plea seeking permission to mine coal from its two coal blocs in Moher and Moher-Amlohri in excess of the approved 17 million tonne per annum (MTPA) cap to run its 3,960 megawatt Sasan Ultra Mega Power Project in Madhya Pradesh.
Reliance Power argued that present cap was not enough to carry out operations till the end of this financial year and an additional 2 MTPA should be allowed tto avoid the “threat of a shutdown”.
Sasan stated in its application that this additional mining would also help it to maintain an additional stock 1.25 million tonne of coal for meeting any exigency which might disrupt coal production, PTI reported. The application also claimed that a shutdown of the power project would result in a loss of around Rs130 crore for the company, while the discoms would have to shell out more than Rs200 crore to purchase power from other sellers to provide electricity to its consumers.
The application was part of a writ petition filed by Reliance Power in 2015, challenging the Centre’s decision to cancel one of the three coal blocs, Chhatrasal coal block in Madhya Pradesh, allocated to Sasan.
Comprising six units of 669 MW each, Sasan UMPP is the world’s largest integrated power generation and coal mining project, and Reliance Power’s flagship project. The power project aims at providing reliable and low cost power for 25 years to more than 42 crore people in seven states.
The matter is listed for further hearing on 7 February before a bench comprising acting chief justice Gita Mittal and justice C. Hari Shankar.
PTI contributed to the story.
Reliance Group companies have sued HT Media Ltd, Mint’s publisher, and nine others in the Bombay high court over a 2 October 2014 front-page story that they have disputed. HT Media is contesting the case.
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