The country’s largest power generation utility NTPC has announced plans to retrofit its existing thermal power plants. This move will enable the company to increase its blend of imported coal to 30 per cent. Presently, the company is able to blend only about 10-15 per cent of imported coal in its power plants.
According to company’s chairman and managing director Arup Roy Chowdhry, increasing the blend of imported coal, which will have low ash content and higher calorific value, will provide higher fuel and operational efficiencies and assist in reducing the carbon footprint. Amid domestic coal shortages, NTPC Limited is scouting for coal assets in Indonesia, South Africa, Mozambique and Australia. Chowdhry indicated that the company was open to the direct acquisition or purchasing of assets through joint ventures. However, the use of imported coal for domestic power generation could lead to an increase in retail power tariffs in the future. Presently, NTPC Limited has signed an agreement with Coal India Ltd (CIL) to procure 130 million tonnes per year of coal. NTPC is likely to import 13-14 million tonnes of coal this year.
Efficient coal usage has become critical after a report released by the Central Electrocity Authority (CEA), revealed the precarious coal supply scenario in the country. According to CEA at the beginning of November, 29 coal-fired power plants had feedstock of less than seven days. Of these, about 19 power projects had supplies of less than four days.
Blending domestic coal with high calorific imports is emerging as the best alternative to meet growing fuel demand. The government also has issued a directive to Bharat Heavy Electricals Ltd (BHEL) to design and develop new boiler technologies, which will enable the use of larger quantities of imported coal. India is also expected to sign a memorandum of understanding with Japan Coal Energy Centre to seek technical and financial assistance for the retrofitting of existing thermal power plants.
ANUP SHAH
Adroitt Flow Control
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