Essar Power secures forest clearance for Mahan coal block

Essar Power today said it has received 'stage 1' forest clearance from the Ministry of Environment and Forests for its Mahan coal block in Madhya Pradesh. "Essar Power, pursuant to group of minister's recommendation, has secured stage 1 forest clearance from the ministry of environment and forests (MoEF) for its Mahan coal block," the company said in its statement.

This stage 1 clearance of Mahan coal block will help expedite supply of fuel to Essar Energy's nearby 1,200 MW Mahan phase I power project, which is due to be commissioned shortly, it said. The block was allocated in 2006 to Mahan Coal, a joint venture between Essar Energy and Hindalco .

"The approval from the ministry enables us to accelerate development at the Mahan coal block to provide fuel for our power plant and deliver much needed electricity for the people of the country," Essar Energy CEO Naresh Nayyar said. He said this was a major step forward in the company's strategy of providing full fuel security for all of its power generation assets, thereby eliminating price and delivery risks.

"We also intend to set the best standard we can in protecting the rights and livelihoods of nearby villagers, restoring forest cover following mining work and conserving wildlife," he added.

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