Ultra Mega Power Projects in India:
1. have minimum generation capacity of 4000MW
2. are either coal based or hydro based
3. are wholly owned by government
Which among the above is / are correct?
The Government of India had launched an initiative for the development of coal-based Ultra Mega Power Projects (UMPPs), each with a capacity of 4,000 MW. The objective of the initiative is to ensure cheaper tariffs utilizing economies of scale, catering to the need of a number of States and to mitigate the risk relating to tie up of land fuel, water and other statutory clearances etc. The projects are being awarded to the successful developers on the basis of tariff based competitive bidding route employing super critical technology; To tieup for necessary inputs and clearances such as provision of site, fuel through captive mining blocks, water and in-principle environment and forest clearances, project-specific shell companies (SPVs) are set up as wholly owned subsidiaries of the Power Finance Corporation Ltd. (PFC) – the nodal agency for these projects. These SPVs, along with the various clearances etc. are subsequently transferred to the successful developer. Four UMPPs namely Sasan in Madhya Pradesh, Mundra in Gujarat, Krishnapatnam in Andhra Pradesh and Tilaiya in Jharkhand have already been awarded to the successful bidders and are at different stages of development.
This question is a part of GKToday's Integrated IAS General Studies Module