Telangana plans thermal power plant at Odisha’s Naini to cut costs

Pointing out that the said plant was about 1,000 km away, the deputy CM disclosed that the Telangana government has come up with an idea to set up the plant near the mine to eliminate transport costs.
Deputy Chief Minister Mallu Bhatti Vikramarka.
Deputy Chief Minister Mallu Bhatti Vikramarka.(File Photo)
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HYDERABAD: Announcing that the Singareni Collieries Company Limited (SCCL) will commence extraction of coal from its Naini mine in Odisha from March, Deputy Chief Minister Mallu Bhatti Vikramarka on Monday expressed interest on behalf of the Telangana government to set up a thermal power plant near the mine to produce 2x800 MW power.

Requesting Odisha Chief Minister Mohan Charan Majhi to allot suitable land for enabling SCCL to establish the thermal power plant near the mine, Vikramarka suggested two sites — Jarpada/Tukuda, and Handappa/Binanali.

Vikramarka, who also holds the Energy portfolio, called on the Majhi on the sidelines of the 3rd National Mining Ministers’ Conference being held at Konark and expressed gratitude for Odisha’s support to Telangana to extract coal from Naini in Angul district of that state.

In a written representation to Majhi, Vikramarka pointed out that Naini is a captive block — a coal or mineral mine owned by a company that uses the resources exclusively for its own needs — and said that the coal produced from the mine is to be supplied to the end use plant, i.e., 2x600 MW Singareni Thermal Power Plant (STPP) in Mancherial district.

Pointing out that the said plant was about 1,000 km away, the deputy CM disclosed that the Telangana government has come up with an idea to set up the plant near the mine to eliminate transport costs. The Odisha chief minister agreed to the request and assured support.

‘Telangana to auction 32 mineral blocks’

Later in the day, he addressed the Mining Ministers’ Conference where he said that Telangana has an action plan to conduct the auction of 32 major mineral blocks for limestone and manganese in 2024-25 and 2025-26.

He also said that the government conducted an auction of two limestone blocks in Suryapet district in 2024 and issued letters of intent to the successful bidders.

Staging that Telangana is endowed with vast deposits of major and minor minerals such as limestone, iron ore, manganese, quartz, feldspar, granite, road metal, dolomite, Vikramarka said that there is immense growth in mineral revenue from Rs 1,958 crore in 2014 to Rs 5,440 crore in 2023-24.

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