Higher thermal power output will continue to meet the increasing electricity demand in the country, India Ratings said today in a report.
With a view to resolve the stress and revive such assets, the Government has decided to set up a High Level Empowered Committee headed by Cabinet Secretary PK Sinha with representatives from the Ministry of Railways, Ministry of Finance, Ministry of Power, Ministry of Coal and the lenders having major exposure to the power sector.
Low coal stock at several generation units is a problem of their own making as they ignored warnings against reducing offtake from Coal India Ltd (CIL) during periods of subdued power demand.
Over 9,000 megawatt (mw) of thermal power plants are shut due to non-availability of coal while almost 3,500 mw of thermal power projects are idle for the want of gas, taking the total total capacity out of the grid because of lack of fuel at 12 gigawatt (gw).
Thermal power generation in January-March this year increased 5.2%, better than the 3% increase in the year-ago quarter. But earnings of leading companies in the sector proved to be a dampener.
Electricity generating firms would now be able to sell power without binding pacts, as the Union government on Monday allowed procurement of power for three years under medium term from generators with commissioned projects but without Power Purchase Agreement (PPA).
Coal-based thermal power plants’ tariff will rise in coming days because the government has decided to allow pass-through of cost incurred by them for meeting environment norms notified by the environment ministry in December 2015.
The implementation of new emission standards for thermal power plants can avoid 124,000 premature deaths every year in India, says a new report suggesting 13 measures to drop pollution levels by 40 per cent.
Prime Minister Narendra Modi today laid the foundation stone for the 2400 MW first phase of state-run power giant NTPC’s Patratu Super Thermal Power Project in Jharkhand.
The Kerala State Electricity Board has signed a memorandum of understanding with the National Thermal Power Corporation for increasing solar power generation in the state.