___________

Following is culled from various sources, including Samaja and Pioneer. The 11 projects that have been cleared or partially cleared are:

1. National Thermal Power Corporation (NTPC) Ltd’s proposed power plant in Sundargarh. An investment of Rs 18,000 crore has been made for the project which will produce 3,200 megawatt of power.
2. Proposed Air Separation unit factory by British Oxygen which will come up at Kalinga Nagar in Jajpur district. It will produce 1800 tons of oxygen daily. It will need 15 acres of land and will invest 838 crores.
3. Jindal Stainless Ltd’s Rs 4,090 crore proposed power plant. The project will come up at Gajamara in Dhenkanal. The power plant will produce 1,000 megawatt.
4. Aarti Steel’s Rs 2,065 crore power plant at Ghantakhal in Athagarha
5. Salivahan Green Energy Ltd’s power project at Nimidha in Dhenkanal
6. Hind Metal and Industries Pvt Ltd (HMIL) Rs 237.10 crore plant at Meramunduli in Dhenkanal
7. Kalinga Energy and Power Ltd’s Rs 4261.27 crore project at Babuchakuli in Sambalpur
8. JSW Energy Ltd’s Rs9189.7 crore project at Chiplima in Sambalpur
9. Chambal Infrastructures and Ventures Ltd’s Rs 4993.98 crore project at Siaria in Dhenkanal
10. Ind Barath Energy Ltd (IBEL)’s Rs1007.69 crore power plant at Banaharpali in Jharsuguda.
11. Expansion of Balasore alloys.

Following is an excerpt from a report in New Indian Express.

Ferro Alloys Corporation Limited (FACOR), one of India’s largest producers and exporters of ferro alloys, is going to expand its integrated plant at a cost of Rs 2,700 cr in Orissa.

The company has initiated an ambitious expansion plan of setting up two power plants and a Stainless Steel Plant (SSP) in Orissa for which a consultancy has also been appointed.

The FACOR group is planning to set up the power plant for its own consumption. A 45 MW coal-based captive power plant is to be set up for Bhadrak near Randia of Orissa at a cost of Rs 180 crore.

The power plant work is scheduled to be completed by 2009 for which the FACOR group has inked a financial tie-up with Rural Electrical Corporation, New Delhi.

Another 250 MW coal-based power plant and a five lakh tpa SSP are also being planned to be set up to the tune of Rs 2,500 crore at Orissa. The expansion works will be completed by 2011.

… According to Ashim, for the Rs 2,500 crore 250 MW power plant and SSP, Rs 1,700 crore would be the debt component while Rs 400 crore would come from internal sources and another Rs 400 crore raised from a partner.

“We are looking for a strategic business partner either in the form of investment or through technological support,” he said.

Following is an excerpt from Livemint on this.

India’s largest manufacturer of power generation equipment Bharat Heavy Electricals Ltd (Bhel) has begun negotiations to set up joint ventures with state government institutions in Maharashtra, Orissa and Uttar Pradesh, which will not only generate steady orders for the firm but potentially block out emerging rivals.
The so-called ‘supercritical’ thermal power projects, with a capacity of 4,800MW, are expected to need Rs20,000 crore in investments.

“We are in talks with the SEBs (state electricity boards) and are exploring opportunities on the lines of our joint venture with Tamil Nadu Electricity Board in a 50:50 ratio. We are looking at setting up 1,600MW projects with each SEB,” said a senior Bhel executive who did not want to be named.

Each venture will require two units with a capacity of 800MW. Bhel is the only company in India that has the capability of manufacturing boilers and turbines of 800MW size and above. But, several companies, including Mitsubishi Heavy Industries Ltd, Toshiba Corp., Hitachi Ltd, Dosan, Dongfang Electric Corp., Siemens AG, Alstom SA, Russia’s LMZ and Technoprom have said they would be interested in setting up manufacturing facilities in India.

Government officials of Maharashtra, Orissa and Uttar Pradesh confirmed the conversations with Bhel.

One state government official, who did not wish to be identified, noted that “supercritical power projects burn less coal and their large economies of scale help in delivering cheaper power.”
Each of the 1,600MW will require an investment of Rs6,400 crore, with a maximum debt to equity ratio of 70:30. This would entail an equity of Rs1,920 crore with Bhel and the state board chipping in Rs960 crore each.

…
A government working group report, submitted as an input into the preparation of the 11th Plan for the power sector, noted that about 3,960MW could not be commissioned in the current plan period due to delays by Bhel. India currently has a power generation capacity of 135,000MW and aims to add 78,577MW of capacity by 2012.

The Bhel executive said that with capacity being raised by 10,000MW per year, the company will be able to manufacture equipment totalling 56,000MW by 2012. It has an order book position of 31,923MW and 9,775MW of extra equipment from unused stock.

“This leaves us with a lot of capacity to manufacture,” the executive added.
Bhel has technical collaboration with Alstom and Siemens, who are both pioneers in the field of supercritical technology for manufacturing boilers and turbines, respectively. The company posted a net profit of Rs2,385 crore on revenue of Rs18,702 crore in 2006-07 and ended the year with an order book position of Rs35,633 crore.

Bhel aims to become a $10 billion-plus (Rs39,500 crore) company by 2011-12 with a 15,000MW power equipment manufacturing capacity by the end of next year. The company has a current manufacturing capacity of 10,000MW.

Following are some excerpts.

Business Standard:

Non-ferrous metals giant Vedanta Resources is planning to enter the Indian steel sector with a 5 million tonne plant at an investment of about Rs 24,000 crore in Keonjhar district of Orissa and envisaging its commissioning by 2012-13.

"We are impressed at the growing consumption of steel in India and are keen to enter its steel sector. We are planning to build a 5 million tonne steel plant at Keonjhar district of Orissa. If we find a suitable partner, we should be able to commission it by 2012-13 at an investment of about Rs 24,000 crore," company sources said.

Sify.com:

Vedanta Resources is planning to make an initial public offer (IPO) to raise $1 billion for Sterlite Energy, a subsidiary of its group company and Indian non-ferrous metals producer Sterlite Industries (India) Ltd.

"We are planning for a $1-billion IPO for Sterlite Energy in the next few months," Vedanta Resources Chairman Anil Agarwal told reporters here Wednesday.

… Agarwal said the London Stock Exchange-listed Vedanta Resources is also considering options to sell shares via a pre-IPO placement.

He added that the company plans to participate in coal-based power generation projects through the subsidiary, Sterlite Energy Ltd.

"We are looking at 10,000 MW commercial power generation by 2012," he said. The power plants are likely to be set up in Orissa and Jharkhand, he said.

Following is an excerpt from a news report in Livemint.

Infrastructure company, Lanco Infratech Ltd, … plans to set up its largest power generation capacity unit at Baban, Orissa, in an attempt to meet growing demand for power in an economy that is expanding at more than 9% a year.

The plant will have a capacity of 2,640MW and will require an investment of around Rs11,000 crore, said Lagadapati Madhusudhan Rao, chairman of the Lanco Group. It will have four units of 660MW each. “We are setting up this coal-fired power project in Orissa under a special purpose vehicle (SPV), Lanco Baban Power Plant Ltd,” added Rao.

Of the 2,640MW, 25% will be sold to Orissa and the balance will be sold to other buyers through tenders. The company also plans to keep a certain portion for merchant power, Rao said. Merchant power is the term used by power companies to describe power sold in the spot market (as opposed to that sold through long-term contracts).

The company claims to have lined up nearly 75% of its fuel supply arrangements in the form of captive coal and coal linkages. While coal for 1,000MW capacity would come from Rampia coal blocks, near Baban, which was allotted recently by the government, another 660MW will come from Coal India Ltd (CIL).

“We have applied to the Union ministry of coal for additional coal for the balance power capacity. We are expecting financial closure for the project by early 2009,” said Rao.

Following is an excerpt from a report in Business Standard.

Mittal Steel India, which is in the process of readying its rehabilitation and resettlement (R&R) package for its 12 million tonne Orissa project, will consider issue of shares and land-for-land as part of its compensation to land-losers.

Sanak Mishra, chief executive officer, Mittal Steel India said, “The Orissa government’s R&R policy includes issue of shares as a means of compensation and if the people want it, we will do it. But that will happen at the implementation stage and we have to see the legal standpoint and the mechanism.”

Mittal Steel hopes to finalise the draft R&R package and make presentations to the Orissa government by month end. “If the Orissa government wants to incorporate something, we will look into it.”

The state government’s policy mentions convertible preference share as a compensation option. It says that at the option of the displaced family and subject to the provisions of relevant laws in force, the project authority could issue convertible preference shares or secured bonds up to a maximum of 50 per cent out of one-time cash assistance.

“There were also other physical issues being considered like alternative land for the displaced people. We will, however, have to assess how much land is required,” said Mishra.

… After finalising the scheme in consultation with the state government, Mittal Steel plans to embark on a communication programme with the land-losers.

The project site is a mix of government and private land. The 12 million steel plant at
Keonjhar would require around 8,000 acres, which includes 1,000 acres for the captive power plant and 1,000 acres for the township.

Mittal Steel is also in dialogue with the Orissa for iron ore mines. Various options are being explored, including arrangement with the Orissa Mining Corporation (OMC), a state-owned mining corporation.

“Talks are at an exploratory stage and it was too premature to talk about it. An arrangement with OMC could enable Mittal Steel to go through captive iron ore mine allocation process, which was one of the stumbling blocks for the company’s Jharkhand project,” Mishra added. Mittal Steel requires around 600 million tonnes of iron ore over a 30-year period for its steel plant.

Following is an excerpt from a report in Reuters.com.

Mittal Steel India Ltd, power producers Sterlite Energy Ltd, a subsidiary of Vedanta Resources; Tata Power Company Ltd, Reliance Energy Ltd and two other firms will together mine a coal block in Orissa.

Mittal Steel, a part of the group that includes the world’s largest steel maker Arcelor Mittal, and power producer GVK Power Ltd have been jointly awarded a coal block in Jharkhand.

Mittal will have rights over the reserves in the two blocks equivalent to generate 750 MW power each for its proposed steel plants in the two mineral-rich states.

A report in Hindu Business line on this allocation mentions the block allocated for the UMPP in Orissa. Following is an excerpt:

The Government has also decided to facilitate the development of ultra mega power projects of about 4,000 MW capacity each under tariff based competitive bidding route using super critical technology.

Four coal blocks, with geological reserves of 1,857 million tonnes, have been allocated to two ultra mega power projects being set up in Orissa and Jharkhand. These will have generation capacity of 8,000 MW.

Following is an excerpt from a report in dnainida.com.

The Orrisa Government has decided to set up more small and micro hydel projects to generate ‘Clean Power’.

“We have sanctioned at least 28 small and micro projects which will generate hydro-power by setting up units on rivers and canals,” Energy minister S N Patro said.

Patro, after chairing a meeting of the state Technical Committee here said the government had received proposals for establishing 82 more small hydel projects in the state.

The proposals were forwarded for verification by the technical committee, official sources said.

Officials from the Department of Energy, Water Resources, Grid Corporation of Orissa and Orissa Hydro Power Generation Corporation, were members of the technical committee who would recommend the small and micro projects, they said.

The minister said while government agencies identified 34 locations for setting up small and micro hydel projects, private parties were interested in 48 other places.

“All the projects will be developed on the basis of private investments,” the minister said adding the capacity of units would range from 100 KW to 25 MW.

An additional 700 MW could be generated in the state, if the project were implemented properly, he said.

… “The small and micro hydel projects will also get a concession of 14 paise per unit of power generation,” he said.

Telegraph also reports on this and summarizes the surplus power situation in Orissa as follows:

More than 1,800MW of power is available in the state as against the average demand of 1,600 to 1700MW.

While the state generates around 600MW of this total electricity from hydro power stations, it gets around 700MW from thermal plants.

The rest is part of the state’s share from the eastern grid and the Centre–owned power plants located in the state.

The state government has already signed MoUs with 13 companies, including Tata Power, Visa Power, Calcutta Electricity Supply Corporation, Essar Power, Jindal Photo, Bhusan Energy and Sterlite Energy, last September for establishment of thermal power plants with an investment of about Rs 59,000 crore to generate about 11,000MW.

Recently, the state government has cleared expansion of three thermal power projects with an additional capacity of 2,000MW.

Sambada names some of the places where this project will be.

Following is an excerpt from a Business Standard report on this.

JSW Energy Ltd (JSWEL), a Sajjan Jindal group company, is planning to set up three power plants in North and Eastern India. The company also plans to foray into non-renewable energy and transmission and distribution of power.

JSW Energy, which is executing over 3000 MW of power projects, is likely to set up either coal or lignite based power plants of above 1000 MW each in Orissa, Jharkhand and West Bengal. It is also in the process of conducting due diligence studies on wind and solar energy-based power projects. Investments in the new projects are expected to be over Rs 15,000 crore.

Following are excerpts from an Economic Times report on this.

Monnet Ispat and Energy Limited on Friday said it plans to enhance capacity of its proposed steel unit from 0.3 MTPA to 2.5 MTPA and apprised the state government of the same.

The company’s managing director Sandeep Jajodia, who met Chief Minister Naveen Patnaik here, told reporters an integrated power project and a small steel unit in Orissa would be set up with an investment of Rs 4,200 crore.

The company had already acquired 450 acre out of its total requirement of nearly 1200 acre at Mangalapur, nearly 30 km from Cuttack, Jajodia said.

He said that the company’s proposed 1,000 MW thermal power plant was expected to be commissioned within three years.

“We have already acquired land for the purpose. Construction work for the project would start within 12 months after getting some more land,” Jajodia said, adding that the company would sign another MoU with the state government relating to capacity enhancement of its steel unit.

He said the company would first go for the power unit before starting the steel project. …

Following is an excerpt from a report in Telegraph.

Orissa, one of the major coal producing states in India, would get a second ultra mega thermal power project to be set up at an estimated cost of Rs 16,000 crore.

The Union power minister, Sushil Kumar Shinde, made this announcement …

Shinde said he had discussed the proposal with chief minister Naveen Patnaik today and he had agreed to it.

The Union minister did not specify the location of the proposed ultra mega power project.

However, he said it would be set up somewhere along the coastal belt.

This would be the second ultra mega power project in the state. Earlier, a 4,000MW ultra mega power project to be set up in Sundargarh district was cleared by the Centre.

Shinde said the entire coal required for the second ultra mega power project would be exported from abroad, while captive coal block had been allotted for the first plant.

Land and other inputs like water would be provided by the state government, said the state energy minister, Surya Narayan Patro.

The Centre has proposed to have 10 ultra mega power projects across the country with a capacity of 4,000MW each to bridge the gap in meeting 11th plan capacity addition target.

… “We will achieve the 78,579MW power addition target in the current Five Year Plan. The government would invest Rs 10,00,000 crore to achieve the capacity addition target and we would try to cross this target in this plan period,” he said.

Following is from Team Orissa‘s September 2007 newsletter.

Following are excerpts from a report in Statesman.

… Mr Bijay Kumar Panda, head of Essar Steel Orissa highlighted the advantages of his proposed project yesterday.

Mr Panda said that the people of Nuagada, Udayabata and Bijaychandpur are keen on an early establishment of the proposed steel plant.

Barring a couple of organizations, the people at large are interested in the project and they have accepted the RR policy adopted by the company, he claimed.

Mr Panda informed that Essar Steel Orissa Ltd (ESOL), which is fully owned by Essar Steel Ltd, is going to set up a 6 million tone per annum integrated steel plant at the cost of Rs 15,000 corers.

The project would require 1900 acres of land out of which 270 acres would be government land and the rest, private. He informed that the number of displaced families have not yet been ascertained because the land survey has not been completed.

He said that the company, the government and the people had all agreed to a rate of Rs 9.50 lakh per acre as compensation and that some people had already provided their land at the said rate.

Balram Parida of Nuagada village who had given his 70 decimals land for the project said he had also requested the Essar authority to emply his son. Speaking of the project, Mr Panda informed that the technology selected will be eco –friendly and increase the iron ore reserves. He said that a beneficiation plant is located at Joda and Barbil so beneficiated ore will be transported through a slurry pipe line to Joda. Supply of iron ore through the pipe line will be cheaper too, he added.

He also informed 5500 people will be employed. The company will set up a 200 mega watt captive thermal power plant.

Meanwhile, the Paradip Krushak Manch has threatened to agitate if Essar failed to increase the compensation to Rs 25 lakh per acre.

Following is an excerpt from a Reuters report.

Officials in Orissa said on Thursday they had earmarked 7,000 acres of government and private land for a steel project proposed by Arcelor Mittal.

Last December, Arcelor Mittal, the world’s biggest steel maker, signed a multi-billion deal with the state government to build the 12 million tonne plant, and is also planning a similar sized steel unit in Jharkhand.

“We have cleared 7,000 acres of land for the steel project and captive power plant so that they can start work (aquiring land),” Orissa’s Industry Secretary Ashok Dalwai told Reuters.

He said most of the land was owned by the state but Arcelor Mittal would have to purchase some from farmers, a potentially controversial process the Orissa government would facilitate.

Hundreds of families are living on the state-owned land and would have to be moved.

The company still has to tie up a mining lease.

… The Arcelor Mittal project also includes a 750 MW power plant. The company had asked for 1,000 acres (400 hectares) on which to build homes for workers, in addition to 7,000 acres for the steel plant itself.

Supporters say the project would provide jobs for 5,500 people directly and another 15,000 indirectly.

In July, Arcelor Mittal Chief Executive Lakshmi Mittal had said that a detailed project report would be ready by mid-2008 and the first phase of the plant would be commissioned within four years of the report’s completion.

State officials said on Thursday the project would only get formal clearance once that report had been submitted.

From Arcelor-Mittal’s actions I get the feeling that they are trying to bully the Orissa government. In comparison, Vedanta has been accommodative in its land requirements for the university. But may be the bullying strategy would work for them. However, they got to be careful; if local people get more mad, and the government gets fed up with their bullying then the whole thing may fall apart.

See http://tathya.in/story.asp?sno=1185.

In the following wikimapia map the location is either to the right or left of the spot labeled as "Patna."

Follow are excerpts from a Statesman report.

The high powered committee headed by chief secretary Mr Ajit Tripathy today cleared 16 investment proposals, entailing an investment of approximately Rs 30,000 crore.

The projects mainly in the power, steel, aluminium and cement sectors were amongst the 40 project proposals placed before the committee. There were three steel and three power projects amongst the 16 which got the nod today.

Significantly while the Ashapura mines chemicals project proposal for a aluminium refinery was approved, the aluminium project of IMFA Group headed by Dr Bansidhar Panda was held up.

… two task forces had been constituted to further evaluate the proposals in the cement and power sectors. The Industry secretary will head the task force for cement sector projects while the development commissioner will be in charge of the task force for power projects, …

The power projects cleared by the committee today included the Bhusan Energy project which intends to establish a 2,000 MW thermal power plant at Angul with an investment of Rs 8,483 crore. The Visa Power Limited’s 1,000 mw Thermal Power plant at Brhamnabasta in Cuttack district at a cost of Rs 3,698 crore was also cleared while the third power project was of Monnet Energy at Sundergarh. It will be a 1,000 mw plant.

The Rs 4,232 crore aluminium project of Ashpura Mines Chemicals to come up in Koraput district was cleared. It aims at setting up a 5 lakh ton refinery and a 1.5 lakh ton smelter plant besides having a 300 MW captive power plant .

The Committee approved the three new steel plant projects and the expansion of existing five steel projects in the state.

Bonei Industry company’s project to set up a plant at Sundergarh at a cost of Rs 302 crore, M/s Rungta Sons Ltd’s proposal to set up a steel plant at Barmunda at a cost of Rs 930 crore and Free Grade company Ltd’s steel plant at Dhenkanal at a cost of Rs 603 crore were also cleared.

Expansion proposals of SMC Power Generation and MSP Mettalics at Jharsuguda, Braja Ispat, Rourkela and the Keonjhar Orient Ispat were given the go ahead by the committee.

ACC Cement’s proposal for investment of Rs 400 crore for its capacity development was approved while Goa Carbons Ltd’s proposal for a CPC coke plant with an investment of Rs 225 crore was also cleared.

Following are excerpts from a Telegraph report.

Chambal Infrastructure Ventures Limited — of the KK Birla group — today expressed interest in setting up a 2,000MW thermal power plant at an estimated cost of Rs 9,000 crore.

H.S. Bawa, the managing director of Zuari Industries and senior vice-president of Chambal Fertiliser and Chemicals Limited, made a presentation before chief minister Naveen Patnaik this evening regarding the matter. Bawa expressed the multinational’s interest in the project.

In fact, the firm has already applied for 2,000 acre near Siaria in Dhenkanal.

… It had also offered to set up a thermal power plant in a joint venture with PSUs.

The proposal’s appraisal would be made by the state-run Industrial Promotion and Investment Limited, which is a nodal agency for industrial projects.

In turn the agency examines projects before they are referred to a single window clearance committee, which is headed by the chief minister himself.

Meanwhile, the company has applied to the coal ministry for blocks. It has also applied to the water resources department to seek permission to use river water for plants.

If the proposal is cleared by the government, Chambal Infrastructure Venture Limited will be the 14th company to sign an MoU with Orissa government to set up a thermal power plant in Orissa.

Already 13 power companies have signed MoUs for setting up plants with a total capacity of 16,000MW and for am investment of Rs 70,000 crore.

Many have already acquired land and obtained environment clearance, as well as, permission for industrial water use.

Two to three firms have also been allotted coal blocks, Patro added.

Construction of power plants proposed to be set up by Vedanta Power Limited has already started in Jharsuguda.

Following are excerpts from a PIB.

The bidding process has been completed in respect of the Ultra Mega Power Projects (UMPPs) in Mundra and Sasan. In the case of Mundra, M/s. Tata Power Ltd. and in the case of Sasan, M/s. Reliance Power Ltd. have been selected as the project developers.

In addition to the above, the bidding process has been initiated in respect of the UMPPs at Krishnapatnam (Andhra Pradesh) and Tilaiya (Jharkhand). Commencement of the bidding process in respect of the remaining five locations is contingent upon the requisite clearances from the State Governments. The Ministry of Power has taken up with the concerned State Governments to provide the requisite clearances/examine the feasibility of alternate sites for development of the Ultra Mega Power Projects in their respective States.

This information was given by Union Power Minister Shri Sushilkumar Shinde in the Rajya Sabha today.

The Ministry of Power had launched an initiative for the development of coal based UMPPs, each of about 4000 MW capacity. These projects are being developed on a Build, Own and Operate basis, and the project developer is selected through a tariff based competitive bidding process. The Central Electricity Authority (CEA) in consultation with the States had identified the following nine locations for these UMPPs:

(i) Sasan in Madhya Pradesh ; (ii) Mundra in Gujarat (iii) Krishnapatnam in Andhra Pradesh (iv) Akaltara in Chhattisgarh (v) Tadri in Karnataka (vi) Girye in Maharashtra (vii) Cheyyur in Tamil Nadu (viii) Sundergarh District in Orissa; and (ix) Tilaiya in Jharkhand.

Following are excerpts on this from a report in Pioneer.

The Centre has allocated coal blocks to three companies of the State. These three companies include Orissa Power Generation Corporation (OPGC), Orissa Hydo Power Corporation (OHPC) and Orissa Mining Corporation (OMC). …

In Baitarani West Coal block, Centre has given the rights of exploration to OHPC, State Electricity Board of Kerala and Power Corporation of Gujurat. All of them have been allotted coal blocks to the tune of 200 million tonne. OPGC has got two coal blocks. It has got the Manoharpur and Manoharpur deep side coal block. It has got 532 million tonne of coals.

In the Utkal D- Coal block site, OMC has got 120 million tonne. It has also got 350 million tonne of coal blocks in the Telisahi coal block of Nuagaon.

Andhra Pradesh has also got the 350 million tonne of coal from this site. Mandakini Coal block has been distributed among the four States. Meghalaya and Assam are the important beneficiaries.

Following is Samaja’s report on this plan and what Orissa is asking in return.

Following are excerpts from a moneycontrol report on this.

CNBC-TV18 has learnt that Suryachakra Power is in talks with the Orissa government for a 1,200 MW thermal power project.

The company may set up the Orissa plant in four phases, added sources. The first phase of the Orissa plant will cost USD 300 million.

The company will buy coal from Tata Power Trading Company and sell power to Tata Power. They are likely to form special purpose vehicle, or SPV, to fund the Orissa project. …