Chitrangi Power Private Ltd (previously MP Power Generation Private Limited) a wholly owned subsidiary of Reliance Power, is set to develop a coal-based power project at Chitrangi Tehsil, Singrauli district in Madhya Pradesh. The project has achieved environmental clearance in May 2010. Land acquisition had been completed and has also received permission from government to utilize incremental coal from coal blocks Mohar, Chhatrasal and Mohar Amlohri.
In October 2007, Reliance Power entered into a State Support Agreement with the Government of Madhya Pradesh for developing Chitrangi Thermal Power Project and other related projects. The government of Madhya Pradesh in turn consented for giving priority status for these projects and to provide all possible assistance in the area of land/ water allocation, expeditious approvals/ clearances etc.
The government has also sanctioned the water allocation from the Gopal River to meet the requirements for the project. The Environment Clearance has also been accorded for the project. The project would be using Coal as the primary fuel. The coal for the project would be sourced from captive coal mines allocated to Sasan UMPP as well as from linkages which the Government may allocate for the project. The approval for using coal from the Sasan coal mines located adjacent to the project has already been given by the Government of India.
The project would be using super-critical technology and would have 6 units of 660 MW each in Phase I. The Engineering, Procurement and Construction (EPC) contract for the project has already been awarded to Reliance Infrastructure limited and the main plant equipment (BTG) order has been placed on M/s Shanghai Electrical Company, China. The project is expected to begin generating power towards the end of the year 2013. The project is estimated to entail an investment of over Rs. 20,000 crs (US$ 4 bn). The financial closure process for the project has already begun, the project is planned to be financed at a debt-equity ratio of 75:25.
The power generated from the project is likely to be sold to consumers in the Northern, Western and Southern regions of India. Power generated from the project would be evacuated both to the western and northern grids using transmission networks of states as central transmission utilities as well as dedicated transmission lines.
The first unit is likely to go operational by 2013.