Ultra Mega Power Projects
Ultra Mega Power Projects (UMPP) are a series of ambitious power projects planned by the Government of India. With India being a country of chronic power deficits, the Government of India has planned to provide "power for all" by the end of the Eleventh Five-Year Plan (2007–2012). This would entail the creation of an additional capacity of at least 100,000 MW by 2012. Ultra Mega Power projects, each with a capacity of 4000 MW or above, are being developed with the aim of bridging this gap.
The UMPPs are seen as an expansion of the MPP (Mega Power Projects) projects that the Government of India undertook in the 1990s, but met with limited success. The Ministry of Power, in association with the Central Electricity Authority and Power Finance Corporation Ltd., has launched an initiative for the development of coal-based UMPP's in India. These projects will be awarded to developers on the basis of competitive bidding.
Based on supercritical technology, 16,000 MW of capacity has been contracted through the competitive bidding process for UMPPs. The average tariff for these projects is in the range of 2-3 per unit which is much lower than the recent cost plus tariffs. The first UMPP, developed by Tata Power at Mundra, Gujarat has been commissioned and contributes 4,000 MW in power to the Western grid.
Special purpose vehicles
Special purpose vehicles (SPV), or shell companies, have been set up as wholly owned subsidiaries of the Power Finance Corporation for each UMPP that will be built. The SPV obtains various clearances, water linkage, coal mine allocation (for domestic coal based projects) etc. for the project. The SPV also initiates action for land acquisition in the name of the SPV, selects the developer through a tariff based competitive bidding process and finally transfers the SPV to the identified developer along with the various clearances, tie ups, etc. The developer is then responsible to build–own–operate (BOO) these UMPP plants.
List of proposed UMPPs
According to the Power Finance Corporation, 16 UMPPs are envisioned. As of July 2012, 12 SPVs had been formed. Currently, two UMPPs have been commissioned. The table below shows the status of the 12 UMPPs for which SPVs have been formed.
|State||Plant||Special Purpose Vehicle||Owner||Capacity (MW)||Fuel source||Status|
|Andhra Pradesh||Krishnapatnam Ultra Mega Power Project||Coastal Andhra Power Ltd.||Reliance Power||3960||Imported coal||Deferred|
|Nayunipalli Ultra Mega Power Project||Tatiya Andhra Mega Power Ltd.||not yet awarded||4000||Imported coal||Proposed|
|Chhattisgarh||Surguja Ultra Mega Power Project||Chhattisgarh Surguja Power Ltd.||not yet awarded||4000||local coal mine||Uncertain|
|Gujarat||Mundra Ultra Mega Power Project||Coastal Gujarat Power Ltd.||Tata Power||4000||Imported coal||(5x800 MW). All units are fully functional.|
|Jharkhand||Tilaiya Ultra Mega Power Project||Jharkhand Integrated Power Ltd.||Reliance Power||3960||local coal mine||Early development|
|Karnataka||Tadri Ultra Mega Power Project||Coastal Karnataka Power Ltd.||not yet awarded||4000||Imported coal||Deferred|
|Madhya Pradesh||Sasan Ultra Mega Power Project||Sasan Power Ltd.||Reliance Power||3960||local coal mine||(6x660 MW). 3 Units are commissioned.|
|Maharashtra||Girye Ultra Mega Power Project||Coastal Maharashtra Mega Power Ltd.||not yet awarded||4000||Imported coal||Deferred|
|Orissa||Bhedabahal Ultra Mega Power Project||Orissa Integrated Power Ltd.||not yet awarded||4000||local coal mine||Bids invited by Government of India.|
|Sakhigopal Ultra Mega Power Project||Sakhigopal Integrated Power Co. Ltd.||not yet awarded||4000||Imported coal||Proposed|
|Ghogarpalli Ultra Mega Power Project||Ghogarpalli Integrated Power Co. Ltd.||not yet awarded||4000||local coal mine||Proposed|
|Tamil Nadu||Cheyyur Ultra Mega Power Project||Coastal Tamil Nadu Power Ltd.||not yet awarded||4000||Imported coal||Bids invited by Government of India.|
The project is being developed with the intention of providing power to consumers at minimum cost. Because of the huge size of these power plants, the cost of the electricity would be lower due to the economies of scale. The plants are estimated to cost roughly 15,000 crores each to set up. The cost of generation per unit is estimated at under 2.
- India Yearbook 2007. Publications Division,Ministry of Information & Broadcasting,Govt. Of India. p. Pg. 263. ISBN 81-230-1423-6.
- "Ultra Mega Power Projects (UMPP) – Govt. of India Initiatives". Pfc.gov.in. Retrieved 2013-03-16.
- "Ultra Mega Power Projects (UMPP)," Power Finance Corporation Ltd., accessed July 2012
- Microsoft Word - MOP_UMPP.doc
- The Hindu Business Line : `Ultra-mega' power plants — Generation cost to be under 2 per unit
- The Electricity Act, 2003
- Official website of Power Finance Corporation detailing UMPP
- Problems of UMP - an article in Businessworld
- Government plans Ultra mega power projects
- Brief description of Ultra mega power projects
- UMPP projects on SourceWatch