15 firms apply to set up cement plant units near NTPC’s power plants

National Thermal Power Plant had invited (EoI) from cement plant manufacturers on 16 February for setting up cement units near its plants.

India, the world’s third largest energy consumer after the US and China, plans to achieve 175 gigawatts (GW) of renewable energy capacity by 2022 as part of its commitments to the United Nations Framework Convention on Climate Change adopted by 195 countries in Paris in December 2015.

The plan will also help NTPC to better utilize the fly ash its coal-fired plants produce. Domestic coal contains high levels of ash that harms the environment.

“Presently, NTPC ash is being utilized in land development, ash dyke raising, road/rail embankments, brick/blocks/tile industries, cement industries, etc. NTPC intends to increase its ash utilization by inviting EoI from interested parties for establishing integrated cement plant/cement clinker grinding unit/cement blending unit/allied products manufacturing unit in/adjacent to NTPC power plant(s) on “built, own and operate (BOO)/JV mode,” NTPC had said.

The plants offered by NTPC to set up these cement plant units include Barh (1,320MW), Farakka (2,100MW), Bongaigaon (750MW), Dadri (1,820MW), Badarpur (705MW), Mouda (1,660MW) and Aravali Power Co. Pvt. Ltd (1,500MW).

“NTPC will have to reinvent itself, given the disruptions across the Indian energy sector,” said a person aware of NTPC’s diversification strategy, requesting anonymity.

Govt bids to set up cement plants near thermal power plants

In order to ensure complete utilization of thermal fly ash from power plants, an expert panel of the Union environment ministry has decided to form a multi-disciplinary committee to examine the possibility of setting up cement plants along with such plants.

It came after the National Green Tribunal (NGT) in January 2017 directed the Union ministry of environment, forest and climate change (MoEFCC) to examine the feasibility of setting up captive Cement Plants near thermal power plants either by project proponents themselves or by joint venture for effective utilization of fly ash generated from power plants.

The expert committee, during its meeting, noted that cement plants require nearly 70-80% of limestone for manufacturing clinker which is grinded for making cement.

According to surveys, every year, millions of tonnes of fly ash is generated across India and this prompted the MoEFCC in 1999, 2003, 2009 and in 2016 to issue directions for its proper use and disposal, mandating it for use in building material and in construction activities like road building.

As per various studies, only about 50-60% of the total fly ash generated by the power sector is being utilised. In 2015, about 180 million tonnes of fly ash was produced across India and by 2025, it is estimated to reach 300 million tonnes a year. With that, utilization of all the fly ash being generated is going to become tougher.

The unutilized fly ash is dumped into poorly designed and maintained ash ponds and it is estimated that about a billion tonne of this toxic ash lies dumped in these ponds, polluting land, air and water.

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