India gives coal-fired plants extra two years to install emissions equipment

GMR Power and Urban Infra

06/09/2022 10:49

By Sudarshan Varadhan
    NEW DELHI, Sept 6 (Reuters) - India extended a deadline for
coal-fired power plants to install  equipment to cut sulphur
emissions by two years, the government said in a notification on
Tuesday, marking the third push back on a commitment to clean up
dirty air.
    Indian cities have some of the world's most polluted air.
Thermal utilities, which produce 75% of the country's power,
account for some 80% of industrial emissions of sulphur- and
nitrous-oxides, which cause lung diseases, acid rain and smog.
    India had initially set a 2017 deadline for thermal power
plants to install flue gas desuphurisation (FGD) units to cut
sulphur emissions. That was later changed to varying deadlines
for different regions, ending in 2022, and further extended last
year to a period ending 2025.
    The order on Tuesday said power plants will be forcibly
retired if they do not comply to norms on sulphur emissions by
end-2027.
    Plants near populous regions and the capital New Delhi will
have to pay penalties to operate from end-2024, while utilities
in less polluting areas will be penalized after end-2026, the
order said.
    The federal power ministry had pushed for an extension,
citing higher costs, lack of funds, COVID 19-related delays and
geopolitical tension with neighbouring China, which has
restricted trade.  urn:newsml:reuters.com:*:nL2N2XH0C1
    The delay will be welcomed by operators of coal-fired
utilities including private companies, like Tata Power  TTPW.NS 
and Adani Power  ADAN.NS , which have long lobbied for less
severe requirements.

 (Reporting by Sudarshan Varadhan; Editing by Simon
Cameron-Moore)
 ((Sudarshan.Varadhan@thomsonreuters.com; +919810393152;
Twitter: https://twitter.com/sudvaradhan @sudvaradhan;))