Calcutta, March 30: The Damodar Valley Corporation (DVC) has set a target to generate 33,500 million units of thermal power in 2014-15, lower than an earlier target to generate 44,537 million units.
The DVC had signed a memorandum of understanding with the power ministry on March 28 setting its generation target for the year.
“The MoU includes targets of different milestones relating to ongoing projects — Raghunathpur thermal power project stage 1 and 2 and Bokaro ‘A’ thermal power station — besides targets for coal mining activities, generation, transmission and distribution,” the state-run power utility said in a statement.
Sources at the DVC said the target had to be lowered on account of delays in its ongoing projects at Raghunathpur in Bengal and Bokaro in Jharkhand.
These two units were major projects planned by the DVC to add to its existing generation capacity of 5,710 megawatt.
“Our initial targets were set on the assumption of timely completion of milestones on the projects. However, issues related to land acquisition and clearances have delayed our major power generation units,” a company official said.
In Raghunathpur, which is one of its largest projects, the DVC had planned to set up a 1,200MW plant in the first phase and 1,320MW in the second phase at an investment of Rs 10,000 crore.
“The first phase was supposed to become operational in November 2010. However, because of major issues such as non-availability of land, water and rail connectivity, the project has been delayed,” an official said.
He said land acquisition issues continued to impact the projects even after assurances from the state government of necessary intervention.