Coal news and updates

GUVNL arm restarts two coal-based power plants

GSECL, the wholly-owned subsidiary of Gujarat Urja Vikas Nigam (GUVNL), the Gujarat government’s electricity regulation board, will produce 500 MW from these two Sikka-based plants.

Approximately 4000 MW is received from National Thermal Power Corporation (NTPC). (Representational image)

By Nayan Dave

State-owned power generation company Gujarat State Electricity Corporation (GSECL) has decided to restart its two coal-based thermal power plants at Sikka near Jamnagar in the wake of unprecedented power demand since the beginning of this summer.

GSECL, the wholly-owned subsidiary of Gujarat Urja Vikas Nigam (GUVNL), the Gujarat government’s electricity regulation board, will produce 500 MW from these two Sikka-based plants.

Confirming the development, a senior official with GUVNL said that nearly 1.2 million tonnes (MT) of coal would be imported from Indonesia to run the Sikka based thermal power plants. “Imported coal from Indonesia would cost around 1,680 crore. We are purchasing coal at14,000 per metric tonnes from the Far East country,” said the official.

Of the total installed capacity of nearly 6,600 MW, GSECL is currently producing 4,500 MW of power from its plants situated in different parts of Gujarat. With two units at Sikka restarting, GSECL would be able to produce 5,000 MW of power.Ahead of the summer season, power demand in Gujarat stood at around 16,000 MW while at present it has crossed 20,000 MW. Last week, power demand in the state reached an all-time high at nearly 21,000 MW.

Generally, electricity demand remains high from January-February and August-September due to heavy consumption from the agriculture sector. Due to the heatwave, power demand has surged in May not only in Gujarat but in many other states across the country. Luckily, demand for agriculture remains low during summer in Gujarat and hence, power companies can cope with the demands from domestic and industrial sectors, said the official.

Despite the all-time high demand for electricity, there hasn’t been any power cut in the state thanks to its balanced energy mix – thermal, renewal, gas, nuclear and hydropower. Forget domestic and industrial consumers, the state can provide power to the agriculture sector for at least 8-hours daily.

“Power generation is being enhanced at GSECL plants in anticipation of a further increase in demand in coming days. Gujarat’s state-of-the-art renewable energy infrastructure is proving to be a great relief for the state government to supply uninterrupted power,” said the official.

Of the total 16,000 MW plus installed capacity, the state is generating up to 7000 MW of power from wind and solar energy. Under its power purchase agreement, GUVNL is purchasing 2400 MW of power from Adani Power and 1800 MW from Tata Power. The state is buying 700 MW and 200 MW power from Nuclear Power Generation Corporation (NPGCL) and ACB India respectively. Approximately 4000 MW is received from National Thermal Power Corporation (NTPC). Up to 200 MW of power is being generated from the Ukai Hydropower station situated at Ukai Dam in South Gujarat. The small deficit of power is being filled from the open market, said the official.