The private sector is currently leading in terms of flue gas desulphurization (FGD) retrofits to coal-fired power units, according to information recently tabled in Parliament.
In a written reply in the Lok Sabha on December 7, 2023, Union power minister R.K. Singh a total of 24 coal-fired power generation units with an aggregate capacity of 10,600 mw have so far been retrofitted with FGD units.
Of the 24 power generation units, as many as 15 units with an aggregate capacity of 6,950 mw belong to private sector entities while 9 units with a total capacity of 3,650 mw are owned by Central government enterprises.
Thus, the private sector is currently leading the FGD-retrofit endeavour with a share of nearly 66 per cent, in terms of FGD-enabled installed capacity.
It is interesting to note that no state government entity has so far completed FGD retrofitting to its thermal power units, though several such entities have already embarked on the exercise.
The 3,650 mw of FGD-retrofitted coal-fired power capacity by the Central government sector is entirely attributed to NTPC Ltd. Private sector entities that have completed FGD installations include Adani Power, Tata Power, Apraava Energy, JSW Energy and IL&FS Tamil Nadu Power Company.
Compliance Schedule
All thermal power plants are required to comply with the emission norms as notified by the Ministry of Environment, Forest & Climate Change (MoEF&CC) and directions given by Central Pollution Control Board (CPCB) from time to time.
For compliance with Sulphur dioxide (SO2) emission norms, thermal power plants are installing flue gas desulphurization (FGD) equipment. MOEF&CC, through notification dated September 5, 2022, has specified following timelines for SO2 compliance for non-retiring thermal power plants for compliance to emission norms:
For non-compliance beyond the specified timelines, MoEF&CC has prescribed environment compensation on non-retiring thermal power plants, which ranges from Rs.0.20 to Rs.0.40 per kwh of electricity generated, depending on the delay in FGD compliance.
Scope for FGD
The immense business potential for FGD retrofitting can be gauged from the fact that India’s total coal-fired power capacity, as of October 31, 2023, stood at 2,06,825 mw. Just over 5 per cent of this has been FGD-retrofitted. Despite a large number of FGD contracts already awarded, there exists significant coal-fired capacity where FGD orders have yet to be firmed up, according to industry sources.
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Featured photograph (source: GE) is for representation only.
