Govt plans to rope in 50k to man solar plants

The government is betting on 50,000 youths to implement a part of its ambitious plan of achieving 100 GW of solar capacity by 2022. The nodal ministry of new and renewable energy (MNRE) is drafting a Cabinet note that will lay down the contours of engaging a battery of young and unemployed population in maintaining and running solar plants of 25,000 MW capacity across the country.

Government officials that FE spoke to said that the plan seeks to achieve two-pronged objective. One, the government hopes that involving local population and providing them with sustainable jobs will help ease the land acquisition process. Second, installing solar power plants around power station for local consumption will save the transmission cost and keep the tariff down.





As the solar power plant operated at a plant load factor of about 20% as compared to thermal plants of 90%, transmission of such power over long distances bumps up the cost by over 50% and hence makes desirable to have shorter transmission lines for evacuation of power.

“The plan clearly revolves around easier land acquisition process and lower evacuation cost of solar power. While it’s easier said than done, there is potential in this route if the policy structure can convince small land owners to set up plants which will also provide jobs to family members. The people thus selected can be trained in O&M (operation and maintenance) of these plants and be made responsible for running it after installation,” said Jasmeet Khurana, senior manager (market intelligence) of renewable energy consultancy Bridge to India.

The 100 GW road map involves installation of 40 GW on rooftops, 25 GW through mega solar parks of 1GW each across the country, and 25 GW through district level solar plants for local consumption. The rest 10 GW will be achieved through a combination of measures that involves installation in Leh & Laddakh, installations along highways and canals.

“Deploying a trained solar army provides for a potentially viable component in the mix that the government is planing to achieve 100 GW,” Khurana said.


The target of 100 GW may look over-ambitious considering the country has only 3 GW of installed solar capacity at present but various studies conducted by the MNRE suggest that solar power will achieve grid parity in large parts of the country by 2020, a government official said and added that this was the right time to push for a 100 GW target.

Grid parity refers to solar power being available to buyers at the same cost as conventional power.

A study conducted by PricewaterhouseCoopers (PwC) and BCG analysis on behalf of MNRE indicates that the solar power will achieve grid parity across the country by FY 18 at the rate of R5.5 per unit. The study also cites the solar power rates of sub R7 per unit discovered by Telangana and Andhra Pradesh last year, showing sharp progressive decline since 2014.

Comment:

In solar,the main issues are:

1-PLF- As we know the plf of solar power plant is 20 percentage as comapare to thermal plant of 90 percentage describes the story.Lower the plf lower means the total output is less.

2-Grid connectivity-Transmitting energy generated by solar power to longer distance leads to the increase in price.

3-Grid Parity- It is difficult to sell electricity (solar) at conventional plant (coal) rates.However there are many new technologies coming in solar sector which in future will reduce the per unit cost of electricity.

Suzlon Energy: Beating a retreat

For sheer tenacity, you can’t beat Tulsi Tanti. While it wasn’t surprising the country’s larger business houses -—the Tatas and Birlas—were snapping up assets overseas at top dollar valuations in 2006 and 2007, given they had bigger balance sheets and deeper pockets, Tanti’s ambitions were backed by little more than confidence. But the entrepreneur, who won much admiration for buying out Senvion SE for EUR 1.5 billion way back in 2007, isn’t really envied by anyone today.

Tanti, who founded Suzlon Energy to make wind turbines, has been forced to give up the German firm at a loss with a sale to private equity firm, Centrebridge Partners LP fetching him just EUR 1 billion. While he may justify the valuation and claim there’s a gain on the currency, it’s a fact that global energy majors were valued more highly in mid-2014. Suzlon’s bankers, however, will be a relieved lot because it was evident that the firm, which had piled up a debt of R17, 323 crore, was becoming increasingly vulnerable to a bankruptcy. Already the Pune-headquartered firm had defaulted on a $209 million repayment in 2012 and bankers had restructured R9,500 crore worth of borrowings.

With the benefit of hindsight, Tanti’s ambitions of going global appear audacious even if the acquisition of the Hamburg-based Repower AG—renamed Senvion—catapulted Suzlon Energy to a new league altogether allowing it to access to state-of-the-art technology. Tanti also bought the Belgian firm Hansen Transmission, which specialised in gearboxes for turbines, in what was a strategic fit. In a matter of months, Suzlon had become the world’s fifth largest maker of wind turbines with revenues of close to $2 billion, not an insignificant number those days.



But despite Senvion’s remarkable growth over the years, and an enhanced presence across several markets globally including the US, the business wasn’t throwing up enough cash to ensure the debt could be serviced properly. After giving the company a grace period in which to repay them, bond holders had no option but to allow the promoters an easier repayment schedule. Bankers, for their part, had backed him to the hilt but were becoming impatient. Tanti sold off Hansen in stages, the last part of the stake being offloaded in 2011 but held on to Senvion.

However, even after R6,000 crore of the R7,200 crore that the Senvion sales fetches is returned to the banks, the firm will remain hugely overleveraged.

Unfortunately for Suzlon, in its quest for a global presence, it took its eyes off the potential back home and over the last couple of years other global energy players have moved in: Gamesa, in particular has picked up a fair bit of market share. While the local market does provide Suzlon with an opportunity, especially with the strong focus on renewable energy, how soon Tanti can put the firm back on its feet is unclear. After all, Senvion was by far the bigger and better part of the business.

If Tanti can revive Suzlon, he would have proved his mettle. The businessman has so far not walked the talk which is why his claims of being able to make the operations profitable by FY16 appear hollow because while there could be opportunities across the globe, it won’t be easy to get a foothold in any of the many markets that Tanti is eyeing; indeed as he told a newspaper, the markets where the firm hopes to operate are yet to be identified. Tanti is no newcomer to adversity; even getting full access to Senvion’s designs was a challenge because German law required him to buy out minority shareholders. Worse, in 2008, Edison Mission Energy complained Suzlon’s blades supplied were faulty and the latter was forced to recall the cracked blades and replace them. But he’s survived it all.

Balance growth with climate consequences

Preceding the ongoing India visit of US president Barack Obama, there has been much speculation about a possible joint US-India climate announcement. With the EU, the US and China having already set emissions targets, everyone is now looking to India to follow suit.

I believe India should make its emissions target clear, tough and ambitious, with or without the US. By doing so, India would lead the way and inspire humanity at large. Obviously, having a pact with the US to tackle climate change threats could have huge economic benefits. And I trust president Obama and prime minister Narendra Modi will seize the opportunity to keep the momentum going ahead of the Paris climate conference in December.

An aspiring nation like India will naturally peak in its carbon emissions. However, the arguments for effecting peak emissions should not be based on ‘our right to pollute’ because others have done so in the past, but on sound assumptions based on enhanced energy efficiency.

Emerging economies must learn from the past mistakes of developed countries. Here lies the greatest opportunities to lead and show the way.

India is already on a clear path through a series of measures, overt and covert, to demonstrate that it means business. The high-level panel on power sector reforms, ambitious actions to tap renewables’ potential, the independent research to assess emissions trajectory, the much anticipated renewable energy act, and the upcoming investors forum on renewable energy—all point to serious and concerted efforts by the Modi government to usher a new sense of direction and purpose to cleanse India.

For an aspirational society, economic growth must be translated into equitable national growth. For this to happen, the estimated 300 million Indians earning less than a dollar a day must see the standards of their lives significantly improve. Double that number of people must move a step higher in the social and economic ladder. This calls for massive development investments—be it infrastructure, energy or facilities—so we can sustain such opportunities for all.

But here comes the dilemma. On one hand, we cannot ignore the right to development of millions. On the other, exercising such rights under a linear economic track will have a detrimental impact on the environment at large. Are those scientists, activists and environmentalists myopic when it comes to the development aspirations of millions of people? Are the professionals and optimists misplaced in their notions and claims that development can happen without doing much harm to the climate?

India currently has an installed capacity to generate 254 GW of electricity. If the country continues to grow at current levels over the next six years, its electricity demand will be at least twice the current installed capacity. And if people move forward along the social and economic ladder with increasing consumption, the requirements will be even higher.

So, where will this energy come from? How can the government address the demand and supply equation while keeping risk factors minimal? Can renewables offer a dependable solution to meet the peaks and lows of demand as well as cater to spikes without pushing the economy into despair?

The renewable energy potential in India has been estimated at close to 300 GW. This means that even if India utilises 100% of its renewables potential, it will still need to find a way of meeting the huge energy gap, either by conventional fossil burning or through nuclear power.

India’s current thermal power generation plants emit 540 million tonnes of CO2 every year. This is equivalent to 820 kg of CO2 per MWh of energy produced. Compare this against a global average 550 kg of emissions by efficient thermal power plants. This means that for the same quantity of energy produced, India emits nearly 60% more toxic gases than the desired levels. While India remains one of the least carbon-intense economies with a per capita emission of one-fourth of the global average, it is one of the most carbon-inefficient economies.

A clear picture emerges here. Naturally, the issue is not about a need for generation, it is more about the technique of generation. If the current thermal power plants start producing energy at higher efficiency standards, there will be a huge drop in CO2 emissions. Investing in revamping and tidying up the existing transmission and distribution systems in India will further boost efficiency levels.

We just touched on the power sector. But if India manages to control inefficiencies in transport, infrastructure and manufacturing industries too, it will herald a new future. It is a question of cutting and polishing the edges of that rough, dust-covered diamond called India. Cost of energy inefficiency is already bleeding us and we need to plug this immediately.

While we continue to promote renewables, modernising existing power plants and making them globally competent should be accorded highest priority. That will help us the country not to depend on coal-powered electricity generation. Pushing for efficiency in productive energy at all levels should be made mandatory.

A combination of tough internal emission targets and increased investments in vulnerability reduction and adaptation will pave the way for an exciting low-carbon journey. Planned transition to a low-carbon future will boost growth, create new jobs and usher a new wave of clean-energy-centric social and economic development.

Time is ripe. Leadership is in place. Willingness is there. Demand is clear. So, let’s just do it.

Suzlon agrees to sell German unit for $1.16 billion

                                                                                       The Pune-based company, the world's fifth largest wind turbine manufacturer, said Senvion will give it licence for off-shore technologies for the Indian market.

Suzlon Energy said it has agreed to sell German unit Senvion to US private-equity firm Centerbridge Partners for $1 billion (Rs 7,200 crore). The Indian wind-turbine maker plans to use the proceeds from the allcash deal to reduce debt and focus on growth.

The company aims to expand in India, the US, China and Brazil, Suzlon Chairman Tulsi Tanti told reporters on Thursday from Davos, where he is attending the World Economic Forum. ET had reported about the transaction earlier in the week.

The deal includes an earnout - a future payment based on the company achieving certain goals - of up to $50 million.

The Pune-based company, the world's fifth largest wind turbine manufacturer, said Senvion will give it licence for off-shore technologies for the Indian market. Senvion will get licence from Suzlon on certain wind turbines for the US market.

Suzlon said the unit's sale is in line with its "strategic initiative to strengthen our balance sheet". Repayment of loans will reduce the company's interest cost and augment business growth, it said. The government's significant thrust on renewable energy offers a conducive policy framework to the sector which Suzlon is best equipped to capitalise on, said Chairman Tanti.

Interest payment has been a major drag on the loss-making company for some time, even as it was also hurt by a slowdown in the global wind-energy market. Lenders had forced the company to restructure debt, after it defaulted on a bond redemption in 2012. The lenders had demanded also that the company bring in its own funds.

Tanti had told ET last week that Suzlon was aggressively looking to raise funds to support its growth strategy and retire debt as despite getting project-based funding from its lenders, it needed cash to capture the Indian wind-energy market.

Comment:

The decision taken by suzlon chairman to sell its stake to US based company was due to increase in debts.As the Narendra Modi led government taking initiatives to promote renewable energy in India,suzlon thought of selling their German unit and expand their business in India.
This will reduce the burden and will strengthen the company's balance sheet.There might be a chance in reduction of accelerated depreciation on wind sector in upcoming budget.

After Jan Dhan Scheme, Modi Government Eyes Another World Record

Having set a world record with fastest roll-out of its financial inclusion scheme - Jan Dhan Yojana, the government expects its ambitious power sector programme to create more such records, including by making India the world's largest destination for renewable energy.

"We are giving the message of India story as a whole and we are looking at getting back to excitement to investing in India across the sectors," said Power and Coal Minister Piyush Goyal, who was here to attend the annual World Economic Forum meeting.

"Clearly energy is one sector where there is lot of excitement and interest that I am seeing from across the world," Mr Goyal told PTI in an interview.

He is also in charge of the New and Renewable Energy Ministry.

"The ambitious target that Prime Minister Narendra Modi has set out for 24X7 power to every home and industry and commercial establishments and also adequate power to farmers to increase their farm output, this demonstrates the demand for power that is going to come out," he said.

Mr Goyal, who also held a number of bilateral meetings with business and government leaders from across the world on the sidelines of WEF summit, said that India is at the cusp of getting into another orbit in terms of renewable energy.

Similar is the case for power transmission and distribution sector as well as the energy access that has been lacking all these years, he added.

"All of this put together is a $250 billion opportunity. This $250 billion opportunity is what would kick-start the investment cycle," he said.

Asked how much the government expects from foreign investors, Mr Goyal said, "Money is least of our concerns in terms of investment that India is looking at."

"My take is that money would flow once people get the confidence that their money is safe in India and the government policies are stable. There is a decisive government and honest government."

Noting that all of these are attributes that PM Modi has demonstrated in Gujarat as Chief Minister, Mr Goyal said the first eight months of the new government at Centre has shown the world that the Prime Minster is focussed on reforms as well as on speed and scale of expanding the business.

"My feeling is that the money would come from both within India and from international investors."

"I would not like to put a figure, but the kind of interest that I am seeing when people are meeting me here with their plans, that suggests that we would not have any difficulty in getting $250 billion invested in the electricity and renewable sector within the target period of 2019," Mr Goyal said.

When asked whether power sector can achieve records similar to the Guinness Record achieved for the Jan Dhan scheme of the government, Mr Goyal replied in the affirmative.

"Certainly. If you look at our renewable target we are looking at 100,000 MW of solar power," he said, adding, "We plan to have many solar parks. We are also looking at off-grid and micro-grids."

"We are working with the states in easing the business of setting up wind energy. We are also looking at combination of solar and wind energy and there will be parks which would have both. All of these will probably make India the world's number one renewable energy destination," Mr Goyal said.

At the same time, Mr Goyal said that for the Prime Minister and this government, what matters more than the records is the urgency to take benefits to the poor and the urgency to make up for the lost time.

"It is the concern and compassion for people who are deprived of basic amenities like power... It is a deep commitment to raise the levels of economy very rapidly," he said, adding, "Records will happen incidentally along the way."

Comment:

Jan Dhan Scheme is one of the mind-boggling work by Government of India.Now the next target is to be world no.1 in the field of renewable energy sector.

In the field of renewable energy,majorly solar energy can be harnessed from India, as appx. 300 clear sunny days are observed.

Babcock appointed to £177M waste project

Engineering firm Babcock has won a key role on a £177M waste project in Scotland.

The firm is part of a consortium awarded an engineer, procure, construct deal for the Oxwellmains waste treatment hub in East Lothian.

Construction giant Interserve and Danish waste-to-energy specialist Wilcox Vølund make up the consortium appointed by Viridor.

Construction of the plant will take three years. From December 2017 it will generate 30MW of base-load renewable energy direct to the grid, the equivalent of 39 wind turbines.

Interserve Construction managing director Ian Renhard said: “We are pleased that our continued work with our partners Babcock, Wilcox Vølund and Viridor on another energy recovery facility will not only assist UK environmental targets, but also support the local economy and local employment in Dunbar.”

Viridor is investing £125M in a network of recycling-led infrastructure across Scotland, which will divert post-recycling waste from landfill and contribute to energy security.

Comment:

Waste to Energy plant is one of the emerging future of renewable energy.It helps to reduce waste and generate energy.But many projects of waste to energy plants are coming in Scandinavian countries.From my experience India is having a huge potential of w2e projects.Veteran companies like Wilcox Vølund should think of expanding their business to Asian countries like India,Bangladesh,etc.

Punjab top state in terms of electricity coverage

Punjab has emerged as India's top state in terms of electricity coverage as about 97 per cent of households in the state have power facility, according to a study.

The northern state has also registered an improvement in terms of electricity coverage during 2001-2011, industry body Assocham said in a release on Monday.

"Electricity coverage in Punjab registered an improvement of about five per cent--that is from 91.1 per cent in 2001 to 96.6 per cent in 2011," the study titled 'State-wise analysis of power sector: Consumption, demand & investment,' conducted by Assocham said.

While electricity coverage across India during the same period increased by about 11.5 per cent, that is from 55.8 per cent in 2001 to 67.3 per cent in 2011, it said.

However, Punjab had a meagre 1.2 per cent share in terms of new investments worth over Rs. 31 lakh crore attracted by the power sector from various public and private sources across India during the course of financial year 2004-05 and 2012-13, the study said.

Private sector accounted for over 75 per cent share in the total amount of new investments worth about Rs.38,000 crore attracted by Punjab during 2004-05 and 2012-13.

About 76 per cent of investment projects in the power sector attracted by Punjab were under implementation as of FY 2012-13, while about 57 per cent projects were under implementation as of FY 2004-05.

Though, Punjab has a small share in investments attracted by the power sector, condition of power supply in the state has improved considerably over the years as power deficit in Punjab improved by about 3.5 per cent during the course of 2004-05 and 2012-13.

While on an average, power deficit in the country increased by about 1.4 per cent during the period mainly due to high growth in power demand as compared to that in power availability, the study said.

Considering that agriculture is the mainstay of Punjab's economy, the state is ranked third in terms of power consumption growth in agriculture sector thereby showcasing that Punjab is ahead in terms of agriculture infrastructure development, it further pointed out.

Vibrant Gujarat Summit: Adani Enterprises, SunEdison to invest Rs 25,000 crore in Gujarat

MUMBAI: Adani Enterprises, India's biggest private power producer and port owner, is taking giant strides in the energy sector - planning to make solar panels that can generate competitively priced electricity and investing in LNG sourcing and oil and gas exploration.

It's agreed to set up a joint venture with SunEdison that will invest.Rs 25,000 crore, or $4 billion, to make India's biggest solar photovoltaic manufacturing facility and signed an accord with Australia's Woodside Energy in the oil and gas business. The solar plant, to be constructed in Mundra, Gujarat, over a three-year period, will make low-cost panels capable of producing electricity that costs as much as power generated by using traditional fuels.

The facility will manufacture solar panels to fuel solar power growth in India, furthering India's goals for clean, renewable energy independence, and will add up to 20,000 jobs to the local economy," Adani and New York listed SunEdison said in a joint statement on Sunday. The venture will boost domestic solar equipment supply to meet the huge requirement of the sector in which Coal, Power and Renewable Energy Minister Piyush Goyal is aiming for unprecedented growth.

The solar energy sector has so far imported huge amounts of low-cost Chinese equipment, drawing criticism from local suppliers. 

"This facility will create ultra-low cost solar panels that will enable us to produce electricity so cost effectively it can compete head to head, unsubsidised and without incentives, with fossil fuels," he said. "By pairing SunEdison's solar technology expertise with Adani's extensive experience in the creation of infrastructure, we will be able to transform the region into a solar production powerhouse, creating 4,500 direct jobs and over 15,000 indirect jobs."

Adani Power said the development of the largest integrated solar manufacturing facility furthers the vision of Modi's 'Make in India' campaign. "We are happy to partner with SunEdison, a leading solar technology manufacturer, t o build this facility which further integrates our power - renewable business value chain and has significant socio-economic benefits," said Vneet S Jaain, chief executive officer of Adani Power.

During the first half of 2015, SunEdison and Adani will conduct a comprehensive analysis of the opportunity and business plan before starting construction of the facility, the statement added. On Saturday, debt-laden wind turbine maker Suzlon Energy announced plans to invest.Rs 24,000 crore over the next five years in wind energy projects in Gujarat. Welspun Renewables said that it will spend Rs 8,300 crore in the state and has signed two MoUs for 500 MW wind and 600 MW solar capacities with Gujarat Urja Vikas Nigam.

Comment:

In my view the investment in solar sector will lead to the sustainability.In India, majority of solar panels are imported from china,due to their low cost.So, the investment in manufacturing of solar panels will add profit to solar sector in India.                

The goal of installing 100,000 MW solar power plant by 2020 is now seems achievable.But the question arises that whether the solar panels will cost lower than Chinese products or not.But with this news domestic solar panel manufacturers will be quite happy.

'Bids for ultra mega power plants in six months'

The government is considering a fresh bidding process in next three to six months for four ultra mega power projects (UMPPs) at different locations, Power Minister Piyush Goyal said here Friday.

"These four proposed UMPPs include two for which we have cancelled the bid and we will be inviting fresh bids, and two more have been identified -- one in Bihar and another in Jharkhand," Goyal told reporters on the sidelines of an Economic Times event on the power sector.

The process of inviting bids will start in the next three to six months, he added.

The government Thursday scrapped the bidding process for two ultra mega power projects (UMPPs) in Odisha and Tamil Nadu due to lack of response, Goyal said.

"It has been done (cancel the bidding process). Unfortunately, we did not receive the response we expected," he told reporters here.

The private companies that participated in the first round of bidding for both UMPPs - so defined by generation capacity of 4,000 MW - withdrew their bids citing problems in securing finances.

Companies that bid for the Tamil Nadu UMPP included Adani Power, Jindal Steel & power, JSW Energy, Sterlite Energy, and Tata Power.

Bidders for the Odisha UMPP included Adani Power, CLP India, GMR Energy, Jindal Steel and Power, JSW Energy, and Sterlite Energy.

Around one-tenth of India's installed power generation capacity of 250,000 MW is under-utilised because of domestic coal shortages, local think-tank Integrated Research and Action for Development (IRAD) has said in a report.

The report came after the Supreme Court in September cancelled 204 coal blocks, allocated between 1993 and 2011, except four vested with the NTPC, SAIL and the Sasan Ultra Mega Power Project (UMPP).

It also said the country needs investment of over $250 billion for the power sector's development in the next few years.

During the 12th Plan period (2012-16), India plans to add nearly 89,000 MW capacity, of which close to 70,000 MW will come from coal.


Comment:

Its a good initiative by Piyush Goyal to start fresh bidding process.Now private sector has to take major steps to tackle financial hurdles.Central goverment should support pvt.firms.

But question arises that if pvt. firms will not acquire the bids then whether they should give it to public sector ( i.e. NTPC,BHEL etc.) or not.But for the improvement in power sector,UMPP projects should start quickly to achieve the dream of BJP goverment to give 24x7 supply

Centre aborts Cheyyur and Bedabahal UMPP bids to avoid Public sector

If a public sector company is the only bidder then the project can be awarded. But if a private firm is the sole bidder, the tender can be scrapped as per bidding rules. But private companies and The Association of Power Producers (APP), a body representing the private firms, were lobying for cancellation tender and the centre accepted it.

The ambitious ultra mega power project scheme has received a set back with centre cancelling the bids for the two proposed plants at Bedabahal (Odisha) and Cheyyur (Tamil Nadu) citing tepid private sector response. But, In both Cases, bids of public sector companies were rejected by the centre. The country's largest thermal power producer, the NTPC, has emerged as the sole bidder for the Tamil Nadu project, NTPC and a NHPC-BHEL joint venture are in the fray for the Odisha UMPP.

If a public sector company is the only bidder then the project can be awarded. But if a private firm is the sole bidder, the tender can be scrapped as per bidding rules. But private companies and The Association of Power Producers (APP), a body representing the private firms, were lobying for cancellation tender and the centre accepted it.

"Unfortunately we did not get enough bids, we have had to scrap the process, its a process which was initiated before this government came in, I thought it was not prudent to keep extending the date without any possible solution," Power and Coal Minister Piyush Goyal said.

The private firms, which had participated in the first round of bidding for two 4,000 MW each UMPP in Odisha and Tamil Nadu withdrew their bids citing difficulties in securing finances for these proposed projects. Power Ministry is reviewing the situation and may soon appoint an expert panel that will examine the documents to determine if the methodology adopted at the time of tendering these projects as per the request of private companies. APP also said that the DBFOT (design, build, finance, operate and transfer) model is not feasible for these UMPPs.

"The two bids have been scrapped for different reasons, one of the projects received a single tender and a nation does not benefit most with a single tender bid and the other due to problem of coal company and electricity company being two different entities which is not permitted in the current scheme of things," Goyal said.

The process is being contemplated as complaints have been received by the government that the documents have not provided for a methodology which is fair. "It appears to be lopsided as alleged by some bidders, I will consult experts as bankers also have flagged off the issue with me that they were unable to provide funds to finance these projects under the current dispensation," he added.

For the Tamil Nadu UMPP, the private companies in the fray were Adani Power, CLP India, Jindal Steel & power, JSW Energy, Sterlite Energy and Tata Power. Of these, four bought the Request For Proposal document but decided not to go ahead further in the process. Private firms which had participated in the first round of bidding for both the projects, withdrew their bids citing difficulty in securing finance for these projects.

The Odisha UMPP saw nine interested bidders, including Adani Power, CLP India, GMR Energy, Jindal Steel and Power, JSW Energy and Sterlite Energy.

After the private companies pulled out, only NTPC and NHPC were left for bidding.

UMPP is a coal-based power project of 4,000 MW generation capacity.

COMMENT:

In my view it is difficult to understand the actual reason that why private companies withdrew their bids.However from my understanding the reason may be of financing the project.The question arises that why central govt.is not abiding the law.

Coal workers’ strike called off

The two-day old strike by coal workers across India was today called off with the government and the unions reaching an agreement after a marathon meeting.

“The strike has been called off,” AITUC leader Lakhan Lal Mahato said after a meeting with Coal Minister Piyush Goyal that lasted for over six hours.

The calling off of the strike midway will bring relief to the power sector that has faced prospect of fuel supplies drying up due to closure of half of the country’s coal mines during the strike.

Mahato, however, did not share the details of the terms and conditions of the agreement reached between the government and the unions.

Indian National Mineworkers’ Federation (INTUC) President Rajendra Singh also confirmed that the strike has been called off and an agreement with the government is being signed.

Comment

As per my view the goverment tackled the situation in a lucid way due to the clear mandate.The strike called off due to most of the unions has connection with BJP and RSS.