inclusion of imported coal, open market coal and e...

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Inclusion of Imported coal, Open Market coal and E-auction Coal of CIL / SECL as temporary coal sources and use of blended coal in operation of 3600 MW Coal Based Power Plant at Nariyara, Akaltara Tehsil,Janjgir-Champa District, Chhattisgarh 1 1.0 Background KSK Mahanadi Power Company Limited (KMPCL) (earlier known as Wardha Power Company Limited) is in the advanced stage of developing a 3600 (6x600) MW coal based thermal power plant at Nariyara, Akaltara Tehsil, Janjgir-Champa District in Chhattisgarh. KMPCL is a Special Purpose Vehicle (SPV) promoted by KSK Energy Ventures Limited (KSK) (a power plant development company) based at Hyderabad. In line with the EIA Notification dated 14 th September 2006, KSK Mahanadi Power Company Limited was accorded Environmental Clearance by MoEF vide its letter no. J 13012/44/08 – IA.II (T) dated 19th Oct, 2009 and the validity of the Environmental clearance was extended upto 31 st December, 2017 vide MoEF’s letter No. J-13012/44/2008-IA.II(T) dated 23.09.2015. Copies enclosed as Annexure-I. Chhattisgarh Environment Conservation Board (CECB) has granted “Consent for Establishment” for 3600 MW power plant of KMPCL and also granted “Consent to operate” for two units on 28.02.2013 and 15.04.2014. “Consent to operate” is valid upto 31 st May,2016. Copies enclosed as Annexure-II. As on today, KMPCL has commissioned two units of 600 MW capacity each on 14.08.2013 and 26.08.2014 and source of coal is South Eastern Coalfields Limited, a subsidiary of Coal India Limited. The generated power is being supplied to Telangana, Andhra Pradesh, Tamil Nadu and Uttar Pradesh States through Long Term Power Purchase Agreements. Balance units are under advance stage of construction and will be commissioned before end of December-2017. 1.1 Status of Project Details of execution of power plant facilities are presented in Table-1. TABLE-1 PROPOSED TARGET DATES AND COMMISSIONING OF BALANCE UNITS Facilities % of Completion Completion Date Unit-III BTG and BOP 60 30 th Sep,2016 Unit-IV BTG and BOP 50 31 st Mar, 2017 Unit-V BTG and BOP 30 30 th Sep, 2017 Unit-VI BTG and BOP 30 31 st Dec, 2017 Drainage system and Major roads 80 31 st Dec, 2016 Intermediate reservoir out side plant site 80 31 st Dec, 2016 Coal receipt system of balance 1800 MW 80 31 st March, 2017

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Inclusion of Imported coal, Open Market coal and E-auction Coal of CIL / SECL as temporary coal sources and use of blended coal in operation of 3600 MW Coal Based Power Plant at Nariyara, Akaltara Tehsil,Janjgir-Champa District, Chhattisgarh

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1.0 Background

KSK Mahanadi Power Company Limited (KMPCL) (earlier known as Wardha Power Company Limited) is in the advanced stage of developing a 3600 (6x600) MW coal based thermal power plant at Nariyara, Akaltara Tehsil, Janjgir-Champa District in Chhattisgarh. KMPCL is a Special Purpose Vehicle (SPV) promoted by KSK Energy Ventures Limited (KSK) (a power plant development company) based at Hyderabad.

In line with the EIA Notification dated 14th September 2006, KSK Mahanadi Power Company Limited was accorded Environmental Clearance by MoEF vide its letter no. J 13012/44/08 – IA.II (T) dated 19th Oct, 2009 and the validity of the Environmental clearance was extended upto 31st December, 2017 vide MoEF’s letter No. J-13012/44/2008-IA.II(T) dated 23.09.2015. Copies enclosed as Annexure-I. Chhattisgarh Environment Conservation Board (CECB) has granted “Consent for Establishment” for 3600 MW power plant of KMPCL and also granted “Consent to operate” for two units on 28.02.2013 and 15.04.2014. “Consent to operate” is valid upto 31st May,2016. Copies enclosed as Annexure-II. As on today, KMPCL has commissioned two units of 600 MW capacity each on 14.08.2013 and 26.08.2014 and source of coal is South Eastern Coalfields Limited, a subsidiary of Coal India Limited. The generated power is being supplied to Telangana, Andhra Pradesh, Tamil Nadu and Uttar Pradesh States through Long Term Power Purchase Agreements. Balance units are under advance stage of construction and will be commissioned before end of December-2017.

1.1 Status of Project Details of execution of power plant facilities are presented in Table-1.

TABLE-1 PROPOSED TARGET DATES AND COMMISSIONING OF BALANCE UNITS

Facilities % of Completion Completion Date

Unit-III BTG and BOP 60 30th Sep,2016 Unit-IV BTG and BOP 50 31st Mar, 2017 Unit-V BTG and BOP 30 30th Sep, 2017 Unit-VI BTG and BOP 30 31st Dec, 2017 Drainage system and Major roads 80 31st Dec, 2016 Intermediate reservoir out side plant site 80 31st Dec, 2016

Coal receipt system of balance 1800 MW 80 31st March, 2017

Inclusion of Imported coal, Open Market coal and E-auction Coal of CIL / SECL as temporary coal sources and use of blended coal in operation of 3600 MW Coal Based Power Plant at Nariyara, Akaltara Tehsil,Janjgir-Champa District, Chhattisgarh

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1.2 Project Size / Magnitude of Operation The details of power plant are presented below in Table-2

TABLE-2 DETAILS OF POWER PLANT

Sr. No. Features Particulars

1 Capacity 3600 MW 2 Configuration 6x600 MW 3 Type of boilers sub critical with pulverized Coal 4 Power evacuation Power generated at KMPCL is

evacuated at both 400 KV level 5 Fuel Coal 6 Source of Coal Domestic Coal (South Eastern

Coalfields Limited) 7 Coal Requirement 14.14 Million tonnes per year 8 Sulphur content 0.3-0.6% (Max) and design

(0.4%) 9 Ash Content in Coal 21-40% (Max) and Design (36%) 10 Ash generation 5.09 Million tonnes per year 11 Fly ash 4.072 Million tonnes per year 12 Bottom Ash 1.018 Million tonnes per year 13 ESP efficiency 99.99% 14 Stack 2 stacks

( 3 flues each of 275-m height) 15 Fresh water requirement for

makeup 8655 m3/hr

1.3 Technology and Process Description Steam Generator Units

The basic plant design considers unitized concept except for ancillary plants, as is the practice. Judicious provisions have been considered while deciding the margins in various system and system components and interchangeability of equipment/system. State-of-the-art technology has been considered for design of the proposed station. To achieve efficiency without sacrificing availability, the choice of steam parameters has been limited to sub-critical range. The parameters of the main plant and equipment are presented in Table-3.

TABLE-3

NOMINAL DETAILS OF MAIN PLANT

Sr. No Units Details I Steam Generation Unit 1 Capacity 2000-TPH BMCR 2 Steam Parameters 174-bar (a), 540oC

Inclusion of Imported coal, Open Market coal and E-auction Coal of CIL / SECL as temporary coal sources and use of blended coal in operation of 3600 MW Coal Based Power Plant at Nariyara, Akaltara Tehsil,Janjgir-Champa District, Chhattisgarh

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3 Type Semi-outdoor, natural circulation, single–reheat, pulverized firing construction, balance draft.

4 Efficiency 87.5% on GCV of Coal 5 Reheat Steam Parameters 38.2- bar and 540-oC to 566 oC II Turbo-Generator Unit 6 Capacity 600-MW at Generator terminal 7 Steam Parameters 166.7 bar and 538oC 8 Type Two/ Three Cylinder, regenerative,

condensing, single reheat 9 Condensing Pressure 0.1 bar(a) 10 Turbine Heat Rate 1927. 7 kCal/kwh 11 Reheat Steam Parameters 35.7 bar and 538 oC to 564 oC 12 Generator Voltage 20 Kv 13 Gross Heat Rate 2203 kCal/kwh

2.0 Need of Change of Coal Source

During development stage, KMPCL had firm coal linkage from Morga II Coal block

of Gujarat Mineral Development Corporation (GMDC) Limited (for first three Units) and Gare Pelma Sector III coal block of Goa Industrial Development Corporation (GIDC) (for last three Units). Fuel Supply Agreements (FSAs) were executed with both GMDC & GIDC.

The coal requirement for the power plant is about 14.14 Million Tonnes Per Annum (MTPA). Coal was to be transported from coal mines to the site through rail.

Due to delay in development of Morga-II coal block, KMPCL approached Standing Linkage Committee (Long Term) (SLC (LT)) and SLC (LT) authorized issuance of Letter of Assurance (LOA) by Coal India Limited on tapering basis on 12.11.2008. On 11.06.2009, South Eastern Coalfields Limited, a subsidiary of Coal India Limited, issued a Letter of Assurance (LOA) for 74,91,000 (7.49 MTPA) tonnes per annum to meet the coal requirement of 1800 MW (Units 1 to 3) out of 3600 MW capacity at the power plant. Copy of LOA is presented as Annexure-III

Later, MOEF was approached for the amendment in EC to get the source of coal changed from GMDC’s Coal Block to South Eastern Coalfields Limited until the coal block of GMDC becomes operational. On 24.01.2012, MoEF issued the amended EC including coal linkage from South Eastern Coalfields Limited as a source of coal for three units. Copy of amendment of environment clearance is enclosed as Annexure-IV.

Later, in accordance with CCEA decision, Government of India through Presidential Directive dated 17.07.2013 mandated Coal India Limited to sign Fuel Supply Agreements with Power developers including Tapering Linkage holders, identified by Ministry of Power for supply of the domestic coal quantity of 65%, 65%, 67% and 75% of Annual Contracted Quantity for the remaining four years of the 12th Plan (ie from 2013-14 upto 2016-17). It was also directed that to

Inclusion of Imported coal, Open Market coal and E-auction Coal of CIL / SECL as temporary coal sources and use of blended coal in operation of 3600 MW Coal Based Power Plant at Nariyara, Akaltara Tehsil,Janjgir-Champa District, Chhattisgarh

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meet its balance FSA obligations, CIL may import coal and supply the same to willing power plants on cost plus basis or Power plants may also directly import coal themselves, if they so opt.

Further, New Coal Distribution Policy issued by Ministry of Coal, Government of India was amended on 26.07.2013 to outline the above directives for implementation.

On 19.03.2014, Fuel Supply Agreement was signed between KMPCL and South Eastern Coalfields Limited to supply 49,94,000 tonnes per annum to meet the requirement of two units of 600 MW capacity each (1200 MW). Through this FSA, SECL committed to supply 3.2461 MTPA (65% of Annual Contracted Quantity) in 2014-15, 3.34598 MTPA (67% of Annual Contracted Quantity) in 2015-16 and 3.7455 MTPA (75% of Annual Contracted Quantity) in 2016-17 to meet the requirement of two units.

Similarly for third unit, Fuel Supply Agreement was signed between Eastern Coalfields Limited and KMPCL on 12.08.2014 for 1.763 MTPA. Details are presented in Annexure-V.

However, Hon’ble Supreme Court, vide its orders dated 25.08.2014 and 24.09.2014 has cancelled allocation of all the coal blocks which also included Morga II and Gare Pelma Sector III Coal Blocks that were linked to the KMPCL project.

Pursuant to the cancellation of allotment of coal blocks by Hon’ble Supreme Court, Ministry of Coal, on 30.06.2015, cancelled the tapering linkage granted to KMPCL and directed CIL (SECL) to continue coal supplies to the Power Plant under MOU mechanism till 31.03.2016 or till formulation of new policy by Government of India, whichever is earlier. Copy enclosed as Annexure- VI.

Presently, SECL is continuing the coal supplies to 2 Units under an MOU dated 13.07.2015 to the extent of 67% of the Annual Contracted Quantity. MOU with SECL is attached as Annexure-VII.

To meet the balance quantity of coal in line with Presidential Directive and New Coal Distribution Policy and considering the inferior quality of coal supplied by SECL (which is lesser than design specification of boiler of power plant), it is now necessary to procure coal of higher GCV coal including imported coal (available through Rail mode), in addition to Domestic Open Market Coal (available through Road e Mode), to address the situation that has arisen out of implementation of the Presidential Directive by Coal India Limited. Blending of SECL’s coal and high GCV Coal from Imported and Open Market coal sources will match with the boiler requirements and also meet the balance coal requirement of the KMPCL units.

At present, to meet the balance amount of coal for the two units, KMPCL is also sourcing coal from SECL though forward e-auction process, which is supplied by SECL only by Road mode.

To meet the requirement of coal for the balance four units, KMPCL is pursuing with Ministry Coal and Ministry of Power to provide long-term coal linkages under the new policy mechanism under consideration of the Ministry of Coal. The New

Inclusion of Imported coal, Open Market coal and E-auction Coal of CIL / SECL as temporary coal sources and use of blended coal in operation of 3600 MW Coal Based Power Plant at Nariyara, Akaltara Tehsil,Janjgir-Champa District, Chhattisgarh

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Coal Distribution policy presently in vogue mandates CIL to meet 100% of the coal requirement of the Power Sector from Domestic Coal sources.

Till November 2015, Railway Logistics Plan allowed only Western Ports to procure imported coal for the Power Plants situated in the state of Chhattisgarh. However recently on 13.11.2015 and 07.12.2015, Railway Board, Ministry of Railways approved the procurement of imported coal by KMPCL from Eastern Ports (through Nagpur route) namely Gangavaram, Vizag, Kakinada and Krishnapatnam ports. Details are presented in Annexure-VIII.

Rail distance from Kandla Port to KMPCL Power Plant is 1675 Km, which amounted to Rs.3277 per tonne transportation cost. After approval of Eastern Port through Nagpur route, the distance has come down to 1467 KM which has reduced the transportation cost to Rs.2865 per tonne and coupled with the fall in prices of imported coal, it is now financially viable to procure imported coal. Now on the basis of approval provided by the Railway Board, KMPCL is intending to import coal from eastern ports.

Hence, considering all above recent developments, to meet the balance coal requirement till CIL supplies 100% of coal from Domestic Sources, KMPCL is planning to procure coal through forward e-auction by Rail / Road mode, local vendors supplying SECL/CIL coal by Road mode and Imported coal from different countries including Australia, South Africa, USA, etc as temporary arrangement. Fuel supply supply agreement of Imported coal is presented in Annexure-IX.

3.0 Impact Assessment

Coal Characteristics of Morga-II, Gare Pelma Sector-III Coal Block and South Eastern Coalfields Limited

The coal characteristics of coal from the coal blocks Morga II, Gare Pelma Sector III and SECL as submitted during the Environment Clearance and proposed coal characteristics of imported source are presented in Table -4 and Table-5.

TABLE-4 RANGE OF COAL QUALITY (%)

 Sr. No.

Parameter Boiler Design

Worst Coal

Best Coal

Morga II Gare-Pelma-III

1 Volatile Matter 18-22 18.0 27.90 23.0

2 Ash 21-40 40.0 21.0 36.0

3 Moisture 7.0-14.0 15.0 9.10 9.0

4 Carbon 27.0-42.0 27.0 42.0 45.0

5 Hydrogen 22.5-3.0 2.50 3.0 2.9

Inclusion of Imported coal, Open Market coal and E-auction Coal of CIL / SECL as temporary coal sources and use of blended coal in operation of 3600 MW Coal Based Power Plant at Nariyara, Akaltara Tehsil,Janjgir-Champa District, Chhattisgarh

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6 Nitrogen 0.5-1.20 0.50 1.20 0.90

7 Sulphur 0.3-0.6 0.60 0.30 0.50

8 Gross calorific value (kcal/kg)

3800-4900 3800 4900 4400

Coal Characteristics of Typical SECL Coal Blocks & Imported Coal In order to meet the requirement of Environment Clearance granted to KMPCL and considering the boiler design for the power plant, in terms of percentage of ash content and sulphur content in the coal to be fired in the boilers, we have undertaken an agreement with agencies to obtain requisite coal characteristics for the power plant.

TABLE-5 COAL ANALYSIS OF TYPICAL SECL COAL MINES AND IMPORTED COAL

Sr. No. Parameter Boiler

Design Source

    SECL Imported Coal  

1  Volatile matter  18‐22 21.76‐25.15  20‐22 

2  Ash   21‐40  36.19‐44.70  18‐20 

3  Moisture  7.0‐14.0  8.79‐11.65  10‐12 

4  Carbon  27.0‐42.0 23.36‐28.15  40‐46 

5  Hydrogen  2.5‐3.0  3.33‐3.37  2.5‐2.7 

6  Nitrogen  0.5‐1.20  0.94‐0.99  0.7‐1.10 

7  Sulphur  0.3‐0.6  0.33‐0.42  0.4‐0.6 

8  Gross calorific value (kcal/kg) 3800‐4900 3169‐4019  5000‐5500

3.1 Air Dispersion Modeling studies

Air Dispersion Modeling studies were conducted on the basis of use of blended coal with superior average GCV of domestic coal from SECL and imported coal. Particulate Matter (PM), Sulphur dioxide (SO2) and Oxides of Nitrogen (NOx) are the important pollutants emitting from the coal based thermal power plant. Air Dispersion modeling studies were conducted using USEPA approved AERMOD software. AERMOD is an air dispersion-modeling package, which seamlessly incorporates the popular USEPA Models, ISCST3, ISC-PRIME and AERMOD into one interface without any modifications to the models. These models are used extensively to assess pollution concentration and deposition from a wide variety of sources. AERMOD model with the following options has been employed to predict the ground level concentrations due to emissions from the proposed activity.

Inclusion of Imported coal, Open Market coal and E-auction Coal of CIL / SECL as temporary coal sources and use of blended coal in operation of 3600 MW Coal Based Power Plant at Nariyara, Akaltara Tehsil,Janjgir-Champa District, Chhattisgarh

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All terrain dispersion parameters are considered; Predictions have been carried out to estimate concentration values over radial

distance of 10 km around the project area; Uniform Cartesian grid receptor network has been considered; Emission rates from the sources were considered as constant during the entire

period; The ground level concentrations computed without any consideration of decay

coefficient; Calm winds recorded during the study period were also taken into consideration; 24 hourly mean ground level concentrations were estimated using the entire

meteorological data collected during the study period; and The study area is used to represent the graphical output of the GLC’s using the

terrain processor. The meteorological data recorded at site during study period continuously on wind speed, wind direction, temperature etc., have been processed to extract the data required for simulation by AERMOD using AERMET. Due to de-allocation of Morga-II and Gare pelma-III and supply of inferior grade of coal, which has lesser GCV than design specification of boiler of power plant, KMPCL is now intended to use imported coal from Australia and South Africa, suitably blending with domestic sources to meet boiler specification. This will match with the boiler requirements and also meet the balance coal requirement of the running units and under construction units till Coal India Limited ensures 100% Coal Linkage supplies. The details of blended coal are presented in Table-6 The impact on air quality is assessed based on emissions of the power plant on the basis of blended coal with superior average GCV of domestic coal from SECL and imported coal. Particulate Matter (PM), Sulphur dioxide (SO2) and Oxides of Nitrogen (NOx) are the important pollutants emitting from the coal based thermal power plant.

TABLE-6 DETAILS OF BLENDED COAL

Sr. No

Particulars Coal consumption (in MTPA)

1 Domestic coal of Morga-II and Gare Pelma-III

14.14

2 Blended coal Linkage coal: 10037940-TPA-(71.55%)

Open market:1402894-TPA-(10%) Imported coal:2588106-TPA(18.45%)

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3.2 Model Input Data

For the modeling purpose pollutants like, Sulphur dioxide, Oxides of Nitrogen and Particulate Matter are considered. The details of stack emissions envisaged from the project are given in Table-7.

Inclusion of Imported coal, Open Market coal and E-auction Coal of CIL / SECL as temporary coal sources and use of blended coal in operation of 3600 MW Coal Based Power Plant at Nariyara, Akaltara Tehsil,Janjgir-Champa District, Chhattisgarh

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TABLE-7

STACK EMISSION DETAILS

Sr. No.

Parameters Units First 1800 MW

Boilers

Balance 1800 MW

Boilers

1 Stack Height M 275 275 2 No. of flues No. 3 3 3 Top diameter of flue m. 7.0 7.0 4 Flue gas velocity in each flue m/sec 22 22 5 Flue gas temperature oK 413 413 6 Flow rate of gas in each flue Nm3/sec 611 611 7 Coal Consumption each boiler TPD 7680 7680 8 Emission rate in each Flue

A Sulphur dioxide (SO2) emission rate (Based on 0.6% of Sulphur)

gm/sec 1067 1067

B

Particulate matter (PM) emission rate mg/Nm3 50 50 gm/sec 30.5 30.5

C Oxides of Nitrogen (NOx) emission rate (Based on 750 mg as per CPCB

mg/Nm3 750 750

gm/s 457.94 457.94 Blended coal

A Coal Consumption each boiler TPD 7641 7641

B Sulphur dioxide (SO2) emission rate (Based on 0.58% of Sulphur)

gm/sec 1025.9 1025.9

C Particulate matter (SPM) emission rate

mg/Nm3 50 50

gm/sec 30.52 30.52

D Oxides of Nitrogen (NOx) emission rate (Based on maximum 750 mg/NM3 )

mg/Nm3 750 750

gm/s 457.94 457.94

Meteorological Data

The hourly meteorological data recorded at site is converted to the mean meteorological hourly data as specified by CPCB and the same has been used in the model. In absence of site specific mixing heights, mixing heights published in ‘Spatial Distribution of Hourly Mixing Depths over Indian Region’ by Dr. R.N.Gupta have been used.

Inclusion of Imported coal, Open Market coal and E-auction Coal of CIL / SECL as temporary coal sources and use of blended coal in operation of 3600 MW Coal Based Power Plant at Nariyara, Akaltara Tehsil,Janjgir-Champa District, Chhattisgarh

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3.3 Presentation of Results

In the present case, model simulations have been carried out for study period. For the short-term simulations, the concentrations have been estimated around 1200 receptors to obtain an optimum description of variations in concentrations over the site in 10-km radius covering 16 directions. The incremental ground level concentrations for SPM, SO2 and NOx are given in Table-8.

TABLE-8 PREDICTED 24-HOURLY SHORT TERM INCREMENTAL CONCENTRATIONS

Pollutant Incremental

Concentration (g/m3) Distance

(km) Direction ( Km)

As per EC PM 1.7 2.0 West SO2 61.4 2.0 West NOX 46.0 2.0

Blended coal PM 1.7 2.0 West SO2 59.1 2.0 West NOX 26.3 2.0 West

Comments on Predicted Concentrations A perusal of Table-8 reveals that the maximum incremental short term 24 hourly ground level concentrations for Particulates, SO2 and NOx likely to be encountered during winter season are 1.7, 61.4 and 46.0 g/m3 where the sulphur content is 0.6% in coal with GCV of 4200 Kcal/kg of earlier Environmental clearance and in case of use of Blended coal ( domestic and imported ) the maximum incremental short term 24 hourly ground level concentrations for Particulates, SO2 and NOx likely to be encountered during winter season are 1.7, 59.1 and 26.3 which are lesser than the approved emissions of Environmental clearance. Resultant Concentrations after Implementation of the Project

The maximum incremental GLCs due to the proposed project for PM, SO2 and NOx are superimposed on the 98th percentile baseline concentration of PM, SO2 and NOx recorded during the study period. The cumulative concentrations (baseline+incremental) after change of coal source of the project are tabulated below in Table-9.

TABLE-9 RESULTANT CONCENTRATIONS DUE TO INCREMENTAL GLC's

Pollutant Concentration (g/m3)

Baseline Incremental Resultant As per EC

PM 165.5 1.7 167.2 SO2 13.1 61.4 74.5 NOX 14.2 46.0 60.2

Inclusion of Imported coal, Open Market coal and E-auction Coal of CIL / SECL as temporary coal sources and use of blended coal in operation of 3600 MW Coal Based Power Plant at Nariyara, Akaltara Tehsil,Janjgir-Champa District, Chhattisgarh

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Pollutant Concentration (g/m3)

Baseline Incremental Resultant Down wind direction

PM 119.4 1.7 55.5 SO2 8.4 61.4 69.8 NOX 9.5 46.0 55.5

Blended coal Study period

PM10 53.8 1.7 55.5 SO2 12.9 59.1 72.0 NOX 9.5 26.3 35.8

The predictions indicate that the SPM, SO2 and NOx concentrations are likely to be well within the prescribed limit for residential and rural zone. It may be observed that the above incremental concentrations have been worked out with 0.58% Sulphur content in coal and for the total installed capacity. However, in practice the Sulphur content in coal will be vary between 0.35–0.50%, resulting in much less concentrations. On the basis air dispersion modelling results reveals that ground level concentration are much lesser than the approved by MOEF.

3.4 Details of Coal Consumption and Ash Generation

Details of coal consumption and ash generation of various scenarios are presented in Table-10 and reveals that generation of ash is lesser than the approved generation of ash specified in Environmental clearance issued in 2009. The flyash is being supplied to cement manufacturing units which are 100 km radius from plant and flyash is utilization in Fly ash management rules of 2009. Bottom ash is stored in Bottom ash dyke developed within the power plant complex.

TABLE-10 DETAILS OF COAL CONSUMPTION AND ASH GENERATION  

Sr.No Particulars EC Blended coal

1. Coal consumption(TPD) 46080 45847

2. Ash generation (in TPD) 16589 15276

3. Flyash generation(TPD) 13271 12221.1

4. Bottom ash generation(TPD) 3318 3055.28

4.0 Summary

Environmental clearance was accorded to the KMPCL project from MOEF, New Delhi vide MoEF vide its letter no. J 13012/44/08 – IA.II (T) dated 19th Oct, 2009 and stated that coal will be sourced from Morga-II coal block of Gujarat Mineral Development Corporation through Fuel supply agreement. Due to delay in development of Morga-II coal block by GMDC, KMPCL approached Standing

Inclusion of Imported coal, Open Market coal and E-auction Coal of CIL / SECL as temporary coal sources and use of blended coal in operation of 3600 MW Coal Based Power Plant at Nariyara, Akaltara Tehsil,Janjgir-Champa District, Chhattisgarh

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Linkage Committee (Long Term) (SLC (LT)) and SLC (LT) at its meeting held on 12.11.2008, authorized issuance of Letter of Assurance (LOA) by Coal India Limited on tapering basis. On 11.06.2009 South Eastern Coalfields Limited issued an LOA for 74,91,000 (7.49 MTPA) tonnes per annum to meet the coal requirement of 1800 MW capacity out of 3600 MW capacity power plant. Thereafter, KMPCL approached MOEF for the amendment in Environmental clearance to get the source of coal changed from GMDC’s Coal Block to South Eastern Coalfields Limited, until the coal block of GMDC becomes operational and obtained amendment of environmental clearance on 24.01.2012. Later, in accordance with CCEA decision, Government of India through Presidential Directive dated 17.07.2013 mandated Coal India Limited to sign Fuel Supply Agreements with Power developers including Tapering Linkage holders, identified by Ministry of Power for the domestic coal quantity of 65%, 65%, 67% and 75% of Annual Contracted Quantity for the remaining four years of the 12th Plan. It was also directed that to meet its balance FSA obligations, CIL may import coal and supply the same to willing power plants on cost plus basis or, Power plants may also directly import coal themselves, if they so opt. Further, amendment to the New Coal Distribution Policy issued by Ministry of Coal, Government of India, on 26.07.2013 also outlined the same directives for implementation. On 19.03.2014, Fuel supply agreement was signed between KMPCL and South Eastern Coalfields Limited to supply 49,94,000 tonnes per annum to meet the requirement of two units of each of 600 MW (1200 MW). Through this FSA, SECL committed to supply 3.2461 MTPA (65% of Annual Contracted Quantity) in 2014-15, 3.34598 MTPA (67% of Annual Contracted Quantity) in 2015-16 and 3.7455 MTPA (75% of Annual Contracted Quantity) in 2016-17 to meet the requirement of two units. FSA for third Unit was executed with Eastern Coalfields Limited. Hon’ble Supreme Court vide its orders dated 25.08.2014 and 24.09.2014 has cancelled allocation of all the coal blocks including Morga II coal block of GMDC and Gare Pelma Sector III Coal Block of Goa IDC. Pursuant to the cancellation of coal blocks, on 30.06.2015, Ministry of Coal cancelled the tapering linkage granted to KMPCL, and directed CIL to continue coal supplies to the Power Plant under an MOU mechanism till 31.03.2016 or till formulation of new policy by Government of India, whichever is earlier. Presently, SECL is continuing the coal supplies to 2 Units under an MOU dated 13.07.2015 to the extent of 67% of the Annual Contracted Quantity. To meet the balance quantity of coal in line with Presidential Directive and New Coal Distribution Policy and considering the inferior quality of coal supplied by SECL (which is lesser than design specification of boiler of power plant), it is now compulsion to procure coal of higher GCV coal including imported coal (available

Inclusion of Imported coal, Open Market coal and E-auction Coal of CIL / SECL as temporary coal sources and use of blended coal in operation of 3600 MW Coal Based Power Plant at Nariyara, Akaltara Tehsil,Janjgir-Champa District, Chhattisgarh

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through Rail mode), in addition to Domestic Open Market Coal (available through Rode Mode), to address the situation that has arisen out of implementation of the Presidential Directive by Coal India Limited. Blending of SECL’s coal and high GCV Coal from Imported and Open Market coal sources will match with the boiler requirements and also meet the balance coal requirement of the KMPCL units. At present, to meet the balance amount of coal for the two units, KMPCL is also sourcing coal from SECL though ‘forward e auction process’, which is supplied by SECL only by ‘Road-mode’. To meet the requirement of coal for the balance four units, KMPCL is pursuing with Ministry Coal and Ministry of Power to provide long term coal linkages under the new policy mechanism under consideration of the Ministry of Coal. The New Coal Distribution policy presently in vogue mandates CIL to meet 100% of the coal requirement of the Power Sector from Domestic Coal sources. Till November 2015, Railway Logistics Plan allowed only Western Ports to procure imported coal for the Power Plants situated in the state of Chhattisgarh. However recently on 13.11.2015 and 07.12.2015, Railway Board, Ministry of Railways approved the procurement of imported coal by KMPCL from Eastern Ports (through Nagpur route) namely Gangavaram, Vizag, Kakinada and Krishnapatnam ports. Rail distance from Kandla Port to KMPCL Power Plant is 1675 Km, which amounted to Rs.3277 per tonne transportation cost. After approval of Eastern Port through Nagpur route, the distance has come down to 1467 KM which has reduced the transportation cost to Rs.2865 per tonne and coupled with the fall in prices of imported coal, it is now financially viable to procure imported coal. Now on the basis of approval provided by the Railway Board, KMPCL is intending to import coal from eastern ports. On the basis of all above developments and conditions, KMPCL has carried impact on air quality is assessed based on emissions of the power plant on the basis of blended coal with superior average GCV of domestic coal from SECL and imported coal. Particulate Matter (PM), Sulphur dioxide (SO2) and Oxides of Nitrogen (NOx) are the important pollutants emitting from the coal based thermal power plant. In the present case, model simulations have been carried out for study period. Air dispersion modelling studies results reveals that the maximum incremental short term 24 hourly ground level concentrations for Particulates, SO2 and NOx likely to be encountered during study period are 1.7, 61.4 and 46.0 g/m3 where the sulphur content is 0.6% in coal of Garepelma and Morga blocks of earlier Environmental clearance and in case of use of Blended coal ( domestic and imported ) the maximum incremental short term 24 hourly ground level concentrations for Particulates, SO2 and NOx likely to be encountered during study period are 1.7, 59.1 and 26.3 - which are lesser than the approved emissions of Environmental clearance.

Inclusion of Imported coal, Open Market coal and E-auction Coal of CIL / SECL as temporary coal sources and use of blended coal in operation of 3600 MW Coal Based Power Plant at Nariyara, Akaltara Tehsil,Janjgir-Champa District, Chhattisgarh

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The predictions indicate that the SPM, SO2 and NOx concentrations are likely to be well within the prescribed limit for residential and rural zone. It may be observed that the above incremental concentrations have been worked out with 0.56% Sulphur content in coal and for the total installed capacity. However, in practice the Sulphur content in coal will vary between 0.35–0.50%, resulting in much less concentrations. On the basis air dispersion modelling results reveals that ground level concentration are much lesser than the approved by MOEF. Therefore, in the light of the Presidential Directive issued by the Government of India, KMPCL requests the committee to consider and permit to use blended coal (domestic and Imported) in the power plant as temporary arrangement till KMPCL gets firm 100% coal linkage from Ministry of Coal as per the New Coal Distribution Policy or any other policy to be put in place by the Government of India, as this will not any have additional impact on air environment.