New Delhi, Oct. 7: The expansion of NTPC-SAIL Power Company's captive power plant in Durgapur at an investment of Rs 362 crore has got an environment clearance.

"Based on the recommendations of the expert appraisal committee, the environment ministry has given the environment clearance to the Durgapur Captive Power Project-III (2X20 MW) in Bengal by NTPC-SAIL Power Company," the environment ministry said.

The clearance will be valid for seven years and is subject to certain conditions, the ministry said.

NTPC-SAIL Power Company has been asked to examine the feasibility of transporting the coal via closed conveyor from the stockyard. Till that time, it has been asked to transport coal in covered trucks.

It has been asked to earmark a minimum amount of Rs 4.29 crore as capital cost for CSR (corporate social responsibility) activities. Moreover, Rs 52.5 lakh per annum, or the amount under the CSR policy, whichever is higher, should be earmarked as a recurring cost till the operation of the plant.

Besides, the company has been asked to submit a status report on the implementation of the stipulated environmental safeguards every six months to the government.

The project - located within the Durgapur Steel Plant - will cost about Rs 361.94 crore, which includes about Rs 18 crore for environmental protection measures.

The project will require about 0.3 million tonnes of coal per annum, which will be sourced from SAIL's Ramnagore captive coal mine. The project does not require any further land acquisition.

NTPC formed a joint venture with SAIL in March 2001. The entity took over captive power plant-II located at Durgapur Steel Plant and Rourkela Steel Plant from SAIL.