Singareni Collieries Company Ltd (SCCL) has announced plans to set up Telangana’s first pumped storage (hydel) power project with a capacity of 500 MW. This initiative is part of the company’s ongoing diversification strategy aimed at making it more sustainable in the face of growing competition in the coal mining industry.
In addition to its core business of coal mining, SCCL has ventured into thermal and solar power generation. The decision to invest in a pumped storage facility was made following directions from the state government, which holds a 51% majority stake in the company.
After conducting an initial study on the viability of the pumped storage project, SCCL has entrusted the preparation of a detailed project report (DPR) to WAPCOS, a Central Government agency. The official letter for this assignment was issued at a meeting held on Saturday.
According to SCCL Chairman and Managing Director, N Balaram, the pumped storage project will be located at the water sump created after the closure of the Medipally opencast mine in the Ramagundam-I area. He pointed out that, unlike neighboring states, neither the state power utility Genco nor any private entity has undertaken a pumped storage project in Telangana.
Deputy Chief Minister M Bhatti Vikramarka, who oversees the portfolios of Energy and Finance, visited the Medipally site before giving approval for the project. WAPCOS will conduct a comprehensive study for the DPR, including geological, geotechnical, and hydrology assessments, along with civil, mechanical, and electrical designs. The study will also cover environmental impact and safety considerations.
The DPR will also outline the estimated project cost, the timeline for execution, and the potential revenue from the sale of energy produced by the plant. The project is expected to cost around ₹3,000 crore and will have a lifespan of 40 years. The Medipally opencast mine, which was abandoned after coal extraction, has created a 157-meter-deep water sump, which will store rainwater year-round. This will serve as a reliable source for the pumped storage system, allowing the plant to generate affordable energy over its four-decade lifespan. This ambitious project aims to not only enhance the state’s power infrastructure but also contribute to sustainable energy production for Telangana.
Singareni Collieries Company Limited (SCCL) is one of India’s oldest and largest coal mining companies, operating primarily in the southern states of Telangana and Andhra Pradesh. Founded in 1920, the company is a joint venture between the Telangana government and the Government of India. SCCL plays a crucial role in meeting the country’s growing demand for coal, with its operations spanning both underground and open-cast mining. It is one of the key suppliers to India’s power generation sector, providing coal for thermal power plants across the country. The company is known for its focus on technological advancements in mining practices, as well as its efforts to improve the welfare of its employees and surrounding communities. Over the years, SCCL has made significant strides in implementing environmentally sustainable mining techniques, contributing to the reduction of carbon emissions and improving safety standards in its operations.