Gautam Adani, the chief of Adani group has met CM KCR today at Hyderabad. The power major group has recently been in news after acquiring permissions for $17 billion valued Carmichael coal mines in Australia. The group is hoping an output of 60 million tonnes of thermal power producible coal every year.
Almost all of that coal is intended for thermal power production in India. Looking at the power deficit situation in Telangana, Adani group and Telangana government both may find an association needed and mutually beneficial. AT the time of bidding for the project, the coal prices were at $110 dollars, while they have now plummeted to $70. Under the circumstances, Adani will be looking at pre fixed long term contracts where such future fluctuations may not affect their business.
Gautam Adani is learned to have assured KCR that by 2020, the company will be at a position to produce over 20 thousand megawatts per year and has indicated willingness to fulfill Telangana’s needs from that.
Though Telangana has set targets to become self reliant in the power sector within next three years, using solar power, by increasing thermal power production, and by looking at power purchasing from other sources, such offers by major coal/ power production companies like Adani might reduce the search efforts needed for the much needed commodity. CM KCR has welcomed Adani’s offer and has explained him the new single window permission system to new businesses. He has offered full facilities to the establishment of new industries.
Meanwhile, representatives of CocaCola too have met the Cm and expressed interest in setting up what is being touted as the biggest manufacturing plant for the company in the world, here in Telangana. CM assured them of all cooperation.