NCC Power Projects, a subsidiary of Nagarjuna Construction Company, Gayatri Group) is planning to set up a 1320 MW thermal power plant in Somapeta, near Gollagandi village in Srikakulam district of Andhra Pradesh. The company has acquired 972 acres of land from government and made private purchases of 573 acres. However, there had been protest from local population for the power project and the company could not put boundary stones. The villagers claim the land provided by the government is wetlands which nurtures rare pelicans. It may be noted, India is a signatory to the Ramsar International Convention, which protects wetlands. The project is yet to get environmental clearance from state Nagarjuna Construction Company (NCC) is likely to shift the location of its thermal power project, the environmental clearance for which was revoked by the ministry of environment and forests in July. The decision on relocation will be taken in October as the final approval from the ministry is pending. The ministry has already received a report from the chief conservator of forests on the ecological viability of the land where the project is coming up. The green nod for the `12,000-crore project — which was to come up in Srikakulam district — was revoked following local protests turned violent. “If the decision is not in our favour, we will have to look for land outside Andhra Pradesh since we have already signed agreements for supplying power from March,” said an official. The 2,640-MW merchant power project was slated to be complete in two phases and the first phase was to cost Rs. 7,000 crore. The company, through its subsidiary NCC Power Projects, had acquired 972 acres allotted by the Andhra Pradesh government while 573 acres were bought from private owners. The Hyderabad-headquartered infrastructure firm had tied up with Mahanadi Coalfields and South Eastern Coalfields for coal linkages and to explore options to acquire an Indonesian coal mine, from which it had expected 30% of the coal linkage for the project.
June 2012 : National Green Tribunal has suspended the environmental clearance and asked for fresh public hearing. October 2011: The company has not abandoned the project and will revive it soon.. June 2011: High Court has stayed the allotment of land as it considers the irrigation potential of the land and hindrance to the implementation of other irrigation schemes. Status Land acquisition is in process. Sea water drawl permission has been received. Environmental Clearance issued by MOEF New Delhi. Coal Linkage- Letter of Award has been received from Mahanadi Coal Fields and South Eastern Coal Fields Ltd . Stack Height clearance has been obtained from AAI for 275mtr height twin fire stacks. In-principle mega clearance for Phase-I has been received from Ministry of Power, GoI. MoA has been signed with Power trading corporation (PTC) Ltd for sale of power . Long Term Open Access (LTOA) application submitted to PGCIL and Power Evacuation scheme has been finalized. Rail Transport clearance has been obtained from East Coast Railway. Financial Closure is in an advanced stage.