Image of coal used for representational purpose only.
Image of coal used for representational purpose only.

13 lakh tonnes of coal to be imported for north Chennai power plant

The official also said Tangedco has plans to build a coal-handling yard in the newly opened plant.

CHENNAI: Tamil Nadu Generation and Distribution Corporation (Tangedco) will float tenders in the first week of June to import 13 lakh tonnes of coal from Indonesia for the newly opened 800-MW North Chennai Super Critical Thermal Power Station (NCTPS Stage III).

A senior official told TNIE, “This is the state’s first super critical thermal power station, designed with the latest equipment. Therefore, we can use 70% imported coal and 30% domestic coal for better efficiency.”

Imported coal has a higher calorific value (a measure of coal’s heating ability) than domestic coal and is generally better in quality. Since it has less ash content, it burns better.

“At present, the cost of imported coal stands at $80 per tonne. Discussions are under way to prepare a detailed project report for floating tenders,” he said. The price of imported coal went as high as $137 a tonne due to Russia-Ukraine war last year.

The official also said Tangedco has plans to build a coal-handling yard in the newly opened plant.

The annual requirement of coal for existing thermal power stations is 223.4 lakh tonnes per annum (LTPA). Indian coal is procured from Mahanadi Coalfields Ltd through fuel supply agreement with a total quantity of 195.63 LTPA and Singareni Collieries Company Limited through memorandum of understanding with a total quantity of 235.63 LTPA.

Besides, the union government allows Tangedco to procure 6% imported coal out of its total requirement every year. The official said Tangedco has obtained approval from the union government to import 13 lakh tonnes of coal for NCTPS stage III.

Explaining the thermal plant’s performance, another official said, “The thermal plant that was inaugurated by CM MK Stalin on March 7 has generated less than 100 mn units alone by using oil and coal as fuel during its trial run for past couple of months.

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The New Indian Express
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