Vadlur power station

{{#Badges:CoalSwarm|navbar-Indiacoal}}Vadlur Power Station is a proposed 420-megawatt (MW) coal plant in Karnataka, India.

Location

The aerial photo below shows the location of the project in Vadlur village.

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Background

Surana Industries Limited set up a 35 MW power plant in 2008 to provide power for the existing steel plant on site. SIL has "hived off" the 35 MW plant in order for Surana Power to expand it into a new 420 MW plant. Just over half (51%) of the thermal plant expansion will provide power for SIL's proposed steel plant of 1.0 MTPA (Million Tons Per Annum). According to the Surana Power website, construction is underway on the plant, with commissioning planned for December 2014, although as of May 2017 there are no reports that the plant has been commissioned.

Fly ash will be provided to cement manufacturers.

In July 2015 it was reported that Karnataka Power Corporation (KPCL) was close to buying out privately held power generator Surana Power. The 420 MW coal plant was reported as still under construction and about 20 months from commissioning. The 420 MW plant is adjacent to KPCL’s existing 1,720 MW power station, which bankers said is one reason for the state-owned company’s interest.

In January 2016 lenders took control of the company:

IDBI Bank has taken possession of secured assets of Chennai based Surana Power Limited (SPL) under the provisions of Sarfaesi Act, 2002 as per Possession Notice published by IDBI Bank dated December 25, 2015... SPL’s 2014 annual report noted that 420 MW project was moving at a slow pace — at the end of FY2014, SPL had invested around Rs 1,657.63 crore against the revised project cost of Rs 3,000 crore. “The slow project progress is mainly attributable to the prevailing economic environment, delays in disbursement of funds, delay in the infusion of equity into the company, substantial portion of funding going towards servicing the interest on the loans, etc,” the SPL management wrote in its annual report.

In February 2016 lenders to Surana Industries voted against a plan to initiate a strategic debt restructuring (SDR) scheme for the company. In the Surana's FY15 annual report, the company reported a loss of R263 crore. The report also stated that although the original project cost for the Vadlur plant was estimated at R2,400 crore in 2010, the project cost had been revised to R3,090 crore.

The project does not appear in the November 2017 Broad Status of coal plants under construction, compiled by the India Ministry of Power. It appears to be shelved.

Project Details

Sponsor: Surana Power
Location: Vadlur village, Raichur taluk, Raichur district, Karnataka
Coordinates: 16.3015842, 77.3615384 (exact)
Status: Shelved
Capacity: 420 MW (2 x 210 MW)
Type:
Projected in service:
Coal Source: Indonesian coal - through Krishnapatnam Port, Yermaras Station by train
Estimated annual CO₂:
Source of financing: DBI Bank Ltd
Permits: Environmental clearance, India MoEF, Sep 9, 2010

Resources and articles

Related SourceWatch articles

• India and coal
• Proposed coal plants in India

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