Maj. Gen. (Rtd.) S.G. Vombatkere, President, Mysore Grahakara Parishat writes
The government is proposing to set up coal-based power plants in various places in Karnataka including Chamalapura. Mysore Grahakara Parishat filed an application before Karnataka Electricity Reforms Commission asking it to advise the government against such power stations. Sec. 86 (2) of the Electricity Act, 2003, mandates that KERC should advise the State Government on promotion of efficiency and economy in activities of the electricity industry. In its application, MGP has urged KERC to exercise this power, commission a detailed study by an expert group on the costs and benefits of establishing coal-based power stations relative to alternatives like efficiency improvement, energy conservation, demand side management and deployment of non-conventional energy sources, hold public hearings on the economic, social and environmental impact of establishing coal-based power stations and advise the government against establishment of such stations in the state until the better alternatives mentioned above are fully harnessed.
Karnataka Power Corporation Limited argued that the petition should be rejected as KERC was not the right forum for taking up this matter. But KERC did not allow this objection. Proceeding on MGP's petition, it conducted public hearings and gave its final order on 19-5-08. In its order, KERC has accepted many of MGP's demands. It has noted that
1. The bidding guidelines issued by the Government of India have not been complied with and replies to the Commission by Power Company of Karnataka Limited (PCKL) are misleading. The bidding process initiated by PCKL lacks transparency and the whole process is carried out in a very casual manner.
2. The issues raised by MGP and the public during the proceedings of the Commission should have been considered before the decision for setting up a plant at Chamalapura was taken.
The Commission has advised the government TO TAKE A FRESH DECISION ON CHAMALAPURA taking the above facts into consideration. It has asked the government to direct PCKL to strictly comply with the bidding guidelines issued by the Government of India.
The Commission has also advised the government to look into all the aspects involved in the project such as environment, heritage, land acquisition, fuel linkage, water supply, etc.
Instead of setting up an expert committee itself, KERC has advised the government to set up such a committee to make a detailed study of the desirability or otherwise of establishing coal-based thermal power plants in Karnataka.
KERC's order is of great significance because, this is the first time in India that powers given by Sec. 86 (2) of the Electricity Act have been used to oppose a power plant. This unique initiative by Mysore Grahakara Parishat is bound to have ramifications nationwide as others take similar initiatives.