Mitsubishi Seeks Exit from NTPC's Flue Gas Desulphurisation Project
Mitsubishi moves to exit NTPC project
The Economic Times
Image: The Economic Times
Mitsubishi Power India Private Limited is attempting to exit its flue gas desulphurisation project at NTPC's Farakka Super Thermal Power Station in Murshidabad district, West Bengal, offering ₹720 crore to settle a penalty, while NTPC demands over ₹1,200 crore. Negotiations are ongoing as the project faces significant delays.
- 01Mitsubishi is trying to exit a flue gas desulphurisation project at NTPC's Farakka Super Thermal Power Station.
- 02NTPC is demanding over ₹1,200 crore, while Mitsubishi has offered ₹720 crore to settle.
- 03The project has faced significant delays and was originally scheduled for completion last year.
- 04Mitsubishi has only completed the first stage of the installation work.
- 05The Indian government has exempted many coal-fired plants from installing FGD units, impacting the project.
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Mitsubishi Power India Private Limited is in negotiations to exit its flue gas desulphurisation (FGD) project at NTPC's Farakka Super Thermal Power Station in Murshidabad district, West Bengal. The company has offered ₹720 crore to NTPC, which is demanding more than ₹1,200 crore in penalties for the incomplete project. Significant delays have plagued the project, which was supposed to be completed last year, with Mitsubishi only finishing the first stage of the installation. The Indian government recently exempted most coal-fired power plants from the requirement to install FGD units, which may have influenced Mitsubishi's decision. While Mitsubishi stated it would continue work per contract, the ongoing negotiations indicate uncertainty regarding the project's future.
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The exit of Mitsubishi from this project could lead to delays in emissions control measures at the Farakka Power Station, potentially affecting air quality and regulatory compliance in the region.
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