Tata Power will approach the SC against a Delhi HC order dismissing its petition challenging the diversion of coal from the captive mines of the Sasan Ultra Mega Power Project.
Tata Power will approach the Supreme Court against a Delhi High Court order dismissing its petition challenging the diversion of coal from the captive mines of the Sasan Ultra Mega Power Project (UMPP).
In a statement on Monday, the company said, “Tata Power strongly believes that it has raised an important issue concerning the government of India’s decision to permit the diversion of coal from the captive mines allotted exclusively to Sasan UMPP to other projects of Reliance Power Ltd after the conclusion of the bidding process.”
The statement added, “We will be filing an appeal before the Supreme Court as we strongly believe that the issue has larger national ramifications.”
Tata Power had filed a petition in the Delhi HC early January, challenging a decision by the empowered group of ministers (eGoM) to allow Reliance Power to divert coal from the captive mines of the 4,000-mw UMPP.
The company said in the petition that as per the terms of the tender for the Sasan UMPP, three coal blocks — Moher, Moher-Amlori Extension and Chhatrasal — were allocated for exclusive use by the Sasan UMPP. However, the government allowed Reliance Power to use incremental coal for its other power projects.
In the petition, Tata Power, which had also bid for the Sasan project, said if it was aware that the captive mines could lead to incremental reserves, it would have quoted a “a significantly different bid” while bidding for the UMPP.
The Sasan UMPP, which is expected to achieve financial closure shortly, currently has the mining rights for Moher and Moher-Amlori Extension with reserves of 402 million tonnes and 198 million tonnes, respectively.
The third mine, Chhatrasal, with estimated coal reserves of 150 million tonnes, is yet to get its mine plan approved. Reliance Power plans to use the ‘incremental’ coal for its upcoming 4,000 mw coal-based power project at Chitrangi, also in Madhya Pradesh.
A Reliance Power spokesperson said on Monday, “The company has followed the due process of obtaining approval from the government of India for use of incremental coal from mines allotted to Sasan UMPP and now the decision taken by the government has got judicial ratification.”
The government, in its answer to the Tata Power petition, had said that the petitioner had suppressed material facts and documents while putting forth its plea and had no locus standi in the matter. Besides, the EGoM’s decision was in line with the bid conditions, the government said.
Based on these observations and some other details furnished by the government, the Delhi HC quashed the petition. A source close to the development said the court order has left no ground for Tata Power to approach the Supreme Court.
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
)
){kind=small}
){kind=small}
)
)
)
)
)
){kind=small}
){kind=small}
){kind=small}
){kind=small}