Mahan Aluminium power station
Mahan Aluminium power station is a 900 megawatt (MW) captive coal-fired power station of Hindalco Industries to supply an aluminium smelter plant in Madhya Pradesh, India.
The undated satellite photo below shows the power station and aluminum smelter in Bargawan village.
In 2011, Hindalco Industries said it was on the verge of acquiring about 500 acres in Sonahatu under Ranchi district in Jharkhand for an aluminum smelter and 900 MW power plant.
The plant was later moved to Madhya Pradesh. When Hindalco first proposed the new aluminum smelter, it was considering a 325,000 tonne a year smelter plant requiring 549 MW of electricity to run it. Hindalco proposed that power supply for the smelter be met from the construction of a captive 900MW power plant, comprising six 150 MW generating units. One of these units, the company explained, would be built as a "stand by" unit in the complex. (Note: In some documents the power plant is referred to as 750MW and in others 900MW. The EIA makes it clear that the 750MW capacity is to cater for the normal operating load, with an additional 150MW unit for backup during outages or maintenance.)
In March 2011, a financing agreement for the entire complex (the smelter and the power plant) was closed. US$1,730.8 million in loans was provided by the State Bank of India, Citigroup, the Royal Bank of Scotland, and Kotak Mahindra Bank. US$ 517.91 million in equity was provided by Hindalco.
The power station, Hindalco stated, would consume approximately 3.5 million tonnes a year from the Mahan coal block. The company states that the "project has access to the Mahan coal block (off the main basin in the Singrauli coal fields) through a joint venture with Essar Energy called Mahan Coal Ltd. Hindalco’s share in the coal block is about 3.6 million mtpa." The two companies are equal partners in the coal mining project. Hindalco also states that the aluminum smelter was scheduled to be commissioned in October 2011.
In its 2013 annual report, Essar announced that it had received stage 1 forest clearance for the Mahan coal block. The company said that it plans to seek additional coal from Coal India’s e-auction process and to consider the use of imported coal.
In February 2014, Mahan Coal Ltd was granted environmental approval to extract around 100 million tonnes of coal from the Mahan coal block.
In August 2014, the company's website stated: "The coal for the CPP will be primarily sourced from Mahan Coal Ltd, a JV between Hindalco and Essar. Mahan coal block has received stage 1 and stage 2 clearance from MOEF and is expected to gear up for coal production after signing mining lease with the government."
Local villagers in the forest area of the proposed Mahan mine have stated that they will resist the mine. According to Reuters, final forest clearance for MCL came from environment minister Veerappa Moily, who in less than three months approved more than 70 big projects worth over $40 billion, some of which were stalled by his predecessors over environmental concerns. Moily has been accused of acting in haste for industrial interests.
Inhabitants say clearance was given to the project in violation of the Forest Rights Act, a 2008 law that gives affected communities a right over the forests. A village vote in Amelia supporting the MCL mine was rigged with hundreds of forged signatures, they said. MCL said it had no say in the vote. The allegation has forced district authorities to launch an inquiry, and the outcome could scupper the mining project.
Greenpeace says MCL's project will fell hundreds of thousands of trees and affect the livelihoods of 14,000 people who sell products such as mahua seeds and tendu leaves, used to make cheap alcohol and hand-rolled cigarettes (beedi) respectively.
Sponsor: Hindalco Industries
Location: Bargawan village, Sidhi district in Madhya Pradesh, India
Coordinates: 24.220902, 82.437197(exact)
Capacity: 900 MW (6 x 150 MW, though one 150MW unit is for back-up only)
In service: 2013
Coal Source: Mahan coal block (off the main basin in the Singrauli coal fields)
Estimated annual CO2: 5,322,331 tons
Source of financing: For the entire complex: US$1,730.8 million in debt from the State Bank of India, Citigroup, the Royal Bank of Scotland, and Kotak Mahindra Bank; US$ 517.91 million in equity from Hindalco
Resources and articles
Related GEM.wiki articles
- Gupta, Amit (2020-04-11). "Hindalco to acquire 500 Sonahatu acres for 900MW plant". Telegraph India. Retrieved 2020-06-24.
- Hindlaco, "EIA for the proposed 3.25LTPA Capacity Greenfield Aluminium Smelter and 750MW Coal Based Captive Power Plant at Bargawan village, Sidhi District, MP: Executive Summary", undated, accessed February 2012, page 1 and 2.
- "Mahan Aluminium Power Plant - Madhya Pradesh, India," World Construction Network, May 26, 2011.
- "Hindalco bets big on Utkal & Mahan plants to raise output," Financial Chronicle, Aug 18, 2013
- "Preview of Mahan Aluminium Complex | Transaction | IJGlobal". ijglobal.com. Retrieved 2020-10-22.
- Hindalco Industries, "Greenfield projects", Hindalco Industries website, accessed November 2011.
- "Annual Report 2013," Essar Energy, accessed October 2013
- Nita Bhalla, "Battle over Essar-led project reflects India's new mining pains," Reuters, Mar 20, 2014.
- "Mahan Aluminium," Hindalco website, accessed August 2014
- Hindlaco, "EIA for the proposed 3.25LTPA Capacity Greenfield Aluminium Smelter and 750MW Coal Based Captive Power Plant at Bargawan village, Sidhi District, MP: Executive Summary", undated, accessed February 2012.
- "Turbine House - Hindalco," Wikimapia, accessed March 2014
- Promit Mukherjee , "Nod for Hindalco & Essar’s Mahan coal block soon", DNA, July 7, 2011.