The State’s power sector authorities have permitted these units to use coal to generate power either directly or by mixing it along with Bagasse, making a mockery of the concept of environmentally-friendly power generation. Desperate in the face of the worsening power crisis, the Power Corporation of Karnataka Limited (PCKL) has for the first time in the country, permitted the renewable energy generating industries to use coal to produce power. This effectively means an end to the renewable energy tag to the sector.
“This is some thing unheard of. It is nothing but a corruption of process. It cannot be done like this. Carbon-neutral technology comes from the use of waste products such as bagasse or through afforestation programmes,” says environmentalist Leo Saldhana. About 29 co-generation units in the City with a power purchase agreement with the State enjoy special tariff for the power they produce, using green sources to arrest the carbon accumulation in the atmosphere.
“They get an extra payment for generating power using renewable energy resources. Their Power Purchase Agreement too strictly mention about this. If they are not generating renewable energy they are not entitled for the special tariff,” explained an official from the Karnataka Power Transmission Corporation Limited (KPTCL).
The sugar units are permitted to use 10 percent coal along with bagasse. “ Since this is a period with no agriculture activity at all, we are facing an acute shortage of bagasse,” said an official from the sugar industry.
Power generated using thermal energy is paid less than three rupees per unit of power byas it is the units are branded as polluters. But the power generated by the co-generating units is purchased at a cost of Rs 5.50 per unit.
Even that prices does not satisfy sugar producers. “It does not work out well for us. With this price, we cannot produce power for more than a month. We will be forced to shut down,” said a source in the sugar sector.
Considering the severe power scarcity, the Government, under section 11 of Electricity Act had directed co-generation units to sell the power only to the State Grid. Considering that availability of bagasse is relatively less, the units have been permitted to generate power using coal, According to sources in the power sector. The 29 Co-generating units in the State with an installed capacity of over 350 MW of power are currently contributing 258 MW.