MoEF to streamline clearance procedures

The MoEF is likely to reconstitute the Expert Appraisal Committees (EACs) in order to organise the clearance procedures in more effective manner.

The EACs are constituted under the Environment Impact Assessment (EIA) notification for giving clearances to projects. As for EACs, there will be three appraisal committees set up to look into coal and power projects, infrastructure and hydel projects. These committees are likely to be set up soon.

The clearance for work in a coastal zone has now been clubbed with environment clearance. Projects that involve both environment and forestry clearance will no longer be given piecemeal clearance as was done in the past. In case of Power projects, no environment clearance will be given without looking at forest clearance.

The ministry has also stopped the practice of giving "in-principle" clearance to projects. Now, there is likely to be a stage of recommendation and a final approval.

New gas linkage policy on the cards

The Empowered Group of Ministers on gas allocation is likely to soon make a list of the next set of beneficiaries in the power sector to receive gas from Reliance Industries' (RIL) KG basin.

As opposed to the earlier policy of giving KG basin gas to only old projects that did not get enough gas, this time priority will be given to projects with fresh capacities and new ones that are in advanced stages of execution.

The beneficiaries of the new linkage policy could be NTPC's expansion projects of 1,000 MW each at Badarpur (Assam), Auraiya (Uttar Pradesh), Faridabad and Dadri (Haryana). Besides, NTPC has sought gas for the 2,000 MW expansion project of Ratnagiri Gas and Power. Also, gas for new projects could also benefit APGenco's 2,100 MW Karimnagar project, Haryana Government's 1,500 MW Faridabad project, and MAHAGENCO's 1,040 MW Uran expansion project.

PFC to spin off arm to fund green projects

PFC is mulling to set up a subsidiary to focus on non-conventional energy sources such as wind power, solar and biomass projects.

In the last fiscal 2009-10, the Corporation sanctioned Rs 603 crore for renewable energy projects and disbursed Rs 266 crore. In the current fiscal 2010-11, PFC is expected to sanction Rs 1,500 crore and disburse Rs 350 crore in the segment. Therefore, it felt the need for a subsidiary to look after the green projects.

In order to expand its presence in renewable energy, co-generation, energy saving projects and captive power plants, the Corporation has empanelled 31 business development associates. It has also signed an agreement with Gujarat Energy Development Agency for development of renewable energy generation projects. It has got a mandate to assist state power utilities to prepare clean development mechanism projects under the Kyoto Protocol.