RPG group’s power  generation and distribution arm, CSEC Ltd,  has decided to revive the Balagarh thermal power project in West Bengal. The decision came in the wake of the growing power requirement in the state. The 500 Mw project, initiated in 1994, was scrapped in 2001. However, the 800 acres of alloted land, located 70 kilometers from Calcutta, remained with the company.

During the first phase of the project, a 660 Mw power plant will be set up at an estimated investment of US $722 million. The capacity is likely to double to 1,320 Mw during the second phase. CESC has requested the government for coal linkages and intends to begin environmental studies at the earliest.  The company plans to commission first unit by 2013-14.

CESC has earmarked about US $4.5 billion for investments in power projects through 2015, including the Balagarh venture. Several projects have been stalled at different stages. After problems with land acquisition, the company’s 660 Mw power plant at Haldia is reportedly on track. CESC has initiated land procurement and coal-feed sourcing activities for its proposed 1,000 Mw power plant at Neulapoi, in the Dhenakkal district of Orissa. The 2,000 Mw Pirpainti plant in Godda district of Bihar and the 1,000 Mw Dhumka project in Jharkhand also have run into land problems. While the company is considering the relocation of the Bihar venture, no decision has been taken on the Jharkhand project.

In addition to these projects, new ventures have been planned in Orissa, Bihar, West Bengal, Himachal Pradesh and Jharkhand. Although the company does not have any concrete plans on diversifying into renewable energy, CESC has been awarded the 140 Mw Lara-Sumta hydel power project in Himachal Pradesh.

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