Set up coal thermal power plant urgently to resolve electricity crisis, Centre tells Kerala

Kochi: The Union Ministry of Power has instructed Kerala to set up a coal-fired thermal power station as soon as possible to address the state's power crisis. However, Kerala has not yet responded to the directive, given that environmental concerns and related issues are likely to arise.

The suggestion to set up a power station in Kerala was put forward by the Union Power Ministry shortly after the foundation stone was laid for Adani Power Limited’s 3,200 MW ultra-supercritical thermal power plant in Dubri of Assam.

Two years ago, at the Glasgow Climate Summit, Prime Minister Narendra Modi announced that India would achieve net-zero carbon emissions by 2070. Following this, moves were initiated to phase out the operation of thermal power plants across the country. Recent developments suggest that the nation has backtracked on this decision.

Kerala currently has no coal-based thermal power plants. Previous plans to establish a thermal power station in Cheemeni met with widespread public protests. The State Electricity Board also has a troubled history when it comes to coal projects.

In 2007, the Union Government allocated a coal block at Baitarani in Talcher, Odisha, jointly to KSEB, Gujarat Power Corporation Limited and Odisha Hydro Power Corporation. Although the three entities formed a new company called Baitarani West Coal Limited to generate power using this coal, no progress was made, and the Central Government reclaimed the coal block in 2014.

Later, responding to Kerala's persistent demands, the Central Government allocated coal through Coal India Limited under the 'SHAKTI' scheme in August 2024 to generate 500 MW of power. However, Kerala has still been unable to transfer this coal allocation to a power station and secure a long-term agreement to purchase electricity at lower rates. If further delayed, the Centre may revoke this allocation as well.