Centre orders probe into Adani Green Energy project cost revision
The Union Ministry of Environment, Forest and Climate Change has directed an investigation after the company reduced its Maharashtra project cost estimate.
The Union Ministry of Environment, Forest and Climate Change (MoEF&CC) has directed the Maharashtra forest department to investigate the 1,500 megawatt Tarali Pumped Storage Project (PSP) on priority. According to The Indian Express, the directive follows a complaint by Honorary Wildlife Warden Rohan Bhate, who alleged an incorrect project cost.
Adani Green Energy Ltd has sought to revise the cost of the hydropower project in Maharashtra’s Satara district downwards from Rs 5,675 crore to Rs 56.75 crore. This reduction means the company's required deposit for wildlife sanctuary conservation and protection would decrease to Rs 2.27 crore from Rs 227 crore.
The project is located in Nivade, Tondoshi, Kalambe and Jalu villages in Patan taluka and passes through the deemed Eco-Sensitive Zone (ESZ) of Koyna Wildlife Sanctuary. A senior forest officer stated that private companies in the ESZ are required to deposit up to 4 per cent of the project cost for forest conservation.
The Maharashtra forest department recently accepted the revised estimate. The company has deposited Rs 56.75 lakh, which is 1 per cent of the new cost, into the Sahyadri Tiger Reserve bank account, with the balance to be paid after National Board for Wildlife (NBWL) clearance.
An Adani Group spokesperson said all elements of the Tarali PSP are on private land and have no forest land. The spokesperson added that the project will have no adverse impact on the downstream ecology or wildlife and did not respond to questions regarding the revised cost.
The company submitted a notarised affidavit on September 8 requesting the cost revision based on an analogous estimation. The state forest department has also initiated a probe into the matter.