Buxar Thermal Power Station

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Buxar Thermal Power Station is a power station in Chausa, Buxa, Bihar, India with multiple units of varying statuses none of which are currently operating.

Location

Table 1: Project-level location details

Plant name Location Coordinates (WGS 84)
Buxar Thermal Power Station Chausa, Buxa, Bihar, India 25.462349, 83.882568 (exact)

The map below shows the exact location of the power station.

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Unit-level coordinates (WGS 84):

  • Unit 1, Unit 2, Unit 3: 25.462349, 83.882568

Project Details

Table 2: Unit-level details

Unit name Status Fuel(s) Capacity (MW) Technology Start year Retired year
Unit 1 construction coal - unknown 660 supercritical 2024
Unit 2 construction coal - unknown 660 supercritical 2024
Unit 3 pre-permit coal - unknown[1] 660[1] unknown

Table 3: Unit-level ownership and operator details

Unit name Owner
Unit 1 SJVN Thermal Pvt Ltd [100.0%]
Unit 2 SJVN Thermal Pvt Ltd [100.0%]
Unit 3 SJVN Thermal Pvt Ltd [100.0%]

Project-level coal details

  • Coal source(s): Deocha Pachami coal block
  • Permit(s): February 28, 2017 – Environmental Clearance

Background

The Buxar Bijlee Company was formed by Bihar Power Infrastructure Company Ltd, as a joint venture between the government-owned Bihar State Electricity Board and Infrastructure Leasing & Financial Services Limited IL&FS to process private sector bids to build the power station. In 2013, Buxar Bijlee Company was acquired by SJVN Limited.

SJVN Limited (SJVN) held a 100% stake in SJVN Thermal Private Limited (STPL).[2]

The Buxar Thermal Power Station was one of three major power projects being promoted by the government of Bihar to supply more power for the state's electrical grid. BSEB stated that the project was scheduled to be commissioned in 2015-16.[3]

On its website, the BSEB stated that the project would require 6.25 million tonnes of coal a year, with a source yet to be allocated. BSEB also stated that in September 2010, consent was given for the supply of 55 Cusec from the Ganga River.[3]

A 2011 Asian Development Bank review of Bihar power projects stated that the project had "Survey –Completed".[4]

On January 17, 2013, SJVN Limited signed an MoU with Bihar State Power (Holding) Company Limited & Bihar Power Infrastructure Company Limited for the take-over of Buxar Bijlee Company and development of the 1,320 MW Buxar plant.[5]

In April 2016, SJVN Limited requested environmental clearance for the proposed coal plant.[5]

In June 2016, SJVN Limited was issued a new terms of reference for the project.[6]

In October 2016, the EIA for the project was submitted and in November the project was cleared by the MoEF for consideration of an Environmental Clearance.[7]

Environmental clearance was granted on February 28, 2017.[8] In November 2018, the Union Minister directed officials to expedite the plant's investment approval.[9] Excavation work began in 2019.[10]

In 2019, IEEFA described the describes the asset as "stranded due to promotor inexperience in thermal power, the high cost of new emissions-compliant coal plants, and the inability to find lenders whilst the banks are weighed down with nonperforming assets".[11]

Construction began in October 2020.[12] As of May 2022, commissioning was planned for end of 2023. However, construction work was reportedly "being disrupted by locals frequently. Deployment of CISF is required for uninterrupted construction activities of the project."[13][14] The engineering, procurement, and construction contract was awarded to the Indian company Larsen & Toubro.[15]

As of November 2022, commissioning was expected by January and April 2024.[16]

In May 2023, the Broad Status report stated that the construction of Unit 1 was 80% complete and that of Unit 2 was 65% complete.[17] The report maintained that Units 1 and 2 would be commissioned in January and April 2024, respectively. [17]

The June 2023 Broad Status report exhibited delays in the planned commission dates for the two units, predicting that Units 1 and 2 would be commissioned in March 2024 and July 2024, respectively.[18] This has been pushed back to July 2024 and October 2024, respectively, according to the November 2023 Broad Status report. Slow work progress was mentioned in Balance-of-Plant areas, switchyard and land acquisition for railway siding and water intake pipeline corridor.[19]

Proposed expansion (1x660 MW)

In the October/November meeting minutes of the Expert Appraisal Committee, it was noted that the project owners had applied for Terms of Reference (ToR) for a 660 MW expansion to the power station, which would raise the station's total capacity from 1,320 MW to 1,980 MW.[20] According to the meeting minutes, the committee deferred the proposal and requested that the company re-submit with improved plans for pollution management and several other environmental concerns.

In the February meeting minutes of the EAC, the committee recommended the grant of ToR for the expansion project.[21] The expansion was formally accorded standard ToR by the Ministry of Environment, Forest, and Climate Change (MoEFCC) on March 15, 2024.[22]

PPA

As of 2021, the PPA was signed with North Bihar Power Distribution Company Limited (NBPDCL) and South Bihar Power Distribution Company Limited (SBPDCL), subsidiaries of Bihar State Power Holding Company Limited (BSPHCL, 85% allocated to Bihar discoms, 15% available with Ministry of Power, Government of India as unallocated quota) for a term of 25 years from start of commercial operations with tariff based on prevailing CERC regulations and will include capacity charge, energy charge, incentives, taxes, levies, etc. The PPA was originally signed with BSPHCL and subsequently assigned to NBPDCL and SBPDCL.[2]

Impacts & Opposition

The project is located less than 0.5 km from the village of Banarpur, and is also within 1 km of other villages, including Chausa Gola, Khilaphatpur, and Nyaipur. According to the EIA, there are 257,103 people living within 10 km of the project, of whom 40.3% are categorized as Below Poverty Line.[7]

In late 2022 and early 2023, farmers whose land was acquired for the plant were protesting outside the plant site seeking better compensation. One of the protesting farmers, Narendra Tiwari, told the police that a team from Mufassil police station came to his house around midnight on the intervening night of Tuesday and Wednesday, and started beating up his family members, including women. The police also arrested three persons from the house. The family later released a video of the incident which was widely circulated on social media. The police action angered the villagers who attacked the plant in January 2023 and torched about half-a-dozen vehicles, a cabin, and some machines.[23]

Following local protests at the construction side, the May 2023 Broad Status report included the following note in the plant's 'Critical Issues': "Deployment of CISF needed for smooth construction works at project site."[24] The CISF, or Central Industrial Security Force, is a para-military organization which enforces protection of public sector projects in India.

Coal block

In 2013, the India Ministry of Coal allocated Deocha Pachami coal block in West Bengal to SJVN for the power station. SJVN was also exploring imported coal.[25]

In January 2015, SJVN signed a JV agreement with six state power generating companies belonging to West Bengal, Bihar, Uttar Pradesh, Punjab, Karnataka and Tamil Nadu for formation of a JV company for mining coal from Deocha Pachami-Dewanganj Horisingha Coal Block located in Birbhum district of West Bengal State. The coal mined from the block would feed to the project.[26]

Financing

In November 2020, two Indian state-owned enterprises, Power Finance Corporation and Rural Electrification Corporation, Ltd., announced that they were providing Rs 85.2 billion in funding for the Buxar Thermal power station, equivalent to approximately US$1.14 billion.[27] Financial close was reached on November 26, 2020. Power Finance Corporation and Rural Electrification Corporation, Ltd., will each cover half of the Rs 85.2 billion in loans.[28]

In October 2022, it was reported that Power Finance Corporation (PFC) and Rural Electrification Corporation (REC) signed a Memorandum of Loan Agreement (MoA) with SJVN Thermal Pvt Ltd (STPL) to finance the power station, even as its project cost had increased by at least Rs 1,733 crore in over three years.[29] When Prime Minister Narendra Modi laid the foundation stone of the plant in March 9, 2019, the estimated cost of the project was Rs. 10,439.09 crore, which now has increased to Rs 12,172.74 crore with a debt requirement of Rs 8520.92 crore.[29] (70% debt ratio). It appeared that 2020 arrangements were not final and financial closure was reached in October 2022.

Articles and Resources

References

  1. 1.0 1.1 (PDF) https://web.archive.org/web/20240125142847/https://parivesh.nic.in/utildoc/24401228_1700034939902.pdf. Archived from the original (PDF) on 25 January 2024. {{cite web}}: Missing or empty |title= (help)
  2. 2.0 2.1 "SJVN Thermal Private Limited: Rating reaffirmed; rated amount enhanced," ICRA, September 8, 2021
  3. 3.0 3.1 Bihar State Electricity Board, "New Projects", Bihar State Electricity Board website, accessed November 2011.
  4. "TACR: India: Developing the Power System Master Plan for Bihar", Asian Development Bank, March 2011, page 284. (Pdf)
  5. 5.0 5.1 "Environment Clearance for STPL's Buxar Thermal Power Project (BTPP 1320 MW) in the state of Bihar," SJVN, Apr 7, 2016
  6. Terms of reference, India MoEF, June 7, 2016
  7. 7.0 7.1 "Environmental Impact Assessment Study Report For Proposed 2x660 MW Buxar Thermal Power Project near Chausa, Buxar District, Bihar State," SJVN Thermal Private Limited, October 2016
  8. Environmental clearance, India MoEF, Feb 28, 2017
  9. "Power Minister reviews Buxar thermal power project," Times of India, November 22, 2018
  10. India Broad Status, India CEA, April 2020
  11. "Seriously Stressed and Stranded The Burden of Non-Performing Assets in India's Thermal Power Sector" (PDF). IEEFA. December 2019.{{cite web}}: CS1 maint: url-status (link)
  12. "SJVN starts work for 1320 MW Buxar thermal power plant". The Statesman. 2020-10-22. Retrieved 2020-11-21.
  13. "Broad Status of Thermal Power Plants," India Central Electricity Authority, April 2021
  14. “Broad Status Report of Under Construction Thermal Power Projects,” Central Electricity Authority, May 2022
  15. L&T bags 2x660 MW power mega project order in Bihar, ANI News, June 24, 2019
  16. “Broad Status Report of Under Construction Thermal Power Projects,” India Central Electricity Authority, November 2022
  17. 17.0 17.1 Broad Status Report of Under Construction Thermal Power Projects, Central Electricity Authority, Government of India, May 2023
  18. Broad Status Report of Under Construction Thermal Power Projects (June, 2023) Central Electricity Authority, Government of Inida, June 2023
  19. "Broad Status Report of Under Construction Thermal Power Projects" (PDF). Central Electricity Authority. November 2023.{{cite web}}: CS1 maint: url-status (link)
  20. Minutes of 02nd Meeting of the Re-Constituted Expert Appraisal Committee (EAC) meeting - Thermal Projects, held from 31/10/2023 to 01/11/2023, MoEFCC, November 15, 2023
  21. Minutes of 5th meeting Thermal Projects held from 14/02/2024 to 14/02/2024, MoEFCC, Government of India, February 26, 2024
  22. Expansion of Buxar Thermal Power Project from 1320 MW to 1980 MW by installing 1x660 MW plant unit in an area of 620.43 Ha at Village Akhauripur, Banarpur, Kathtar and etc., SubDistrict Chausa, District Buxar, Bihar by M/s SJVN Thermal Pvt. Ltd. – regarding Terms of References (TOR), MoEFCC, March 15, 2024
  23. "Farmers torch vehicles at thermal plant site in Buxar, 12 cops injured," Indian Express, January 12, 2023
  24. Broad Status Report of Under Construction Thermal Power Projects, Central Electricity Authority, Government of India, May 2023
  25. "Buxar Thermal Power Project (1320 MW)," SJVN Limited, April 18, 2013
  26. "SJVN to get 162 mln tonne coal for Buxar project - Mr Sharma," Steel Guru, January 11, 2015
  27. PFC, REC to provide Rs 8,520 cr loan to SJVN's power project in Bihar, The Economic Times, November 26, 2020
  28. SJVN achieves financial closure for 1320 MW Buxar Thermal Power Project, Business Standard, Nov. 27, 2020
  29. 29.0 29.1 "PFC, REC sign pact to finance 1,320 MW coal-fired power plant in Bihar," Money Control, October 19, 2022

Additional data

To access additional data, including an interactive map of coal-fired power stations, a downloadable dataset, and summary data, please visit the Global Coal Plant Tracker on the Global Energy Monitor website.