It seems that the Power Ministry has abandoned the plan of setting up a 20,000 Crores Ultra Mega Power Project at Sarguja in Chhattisgarh due to the likely environmental issues for the coal blocks.
The Coal blocks of Hasdeo-Arand have been allocated for the proposed 4,000 MW project.
However as these coal blocks are falling under the dense forests, the Ministry of Environment and Forests had classified them as "No Go" which means mining activities cannot be conducted at these mines considering the possible damage to the environment.
Due to this the MoEF has not granted approval for these mines.
Further, as per the guidelines of power sector regulator Central Electricity Regulatory Commission, the exploration work at the coal blocks allotted for the UMPPs should start within 730 days of the Coal Ministry's approval. This deadline expired in March 2012.
Due to this, it seems that Power Ministry has abandoned the plan to develop the proposed project.
The process for the invitation of initial bids for the Sarguja UMPP has been delayed many times in the past due to lack of environment clearance for the allotted coal mines.
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