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in the near future, with most of the 100 GW of power capacity addition
planned in the Twelfth Five-Year Plan (2012–17) coming from coal-
based power. With respect to low carbon development strategies, all
future capacity addition is expected to be increasingly based on super-
critical technology, with 50 per cent of the capacity in the Twelfth
Plan period targeted to be through super-critical units, and all coal-
based plants in the Thirteenth Plan period to be based on super-critical
technology.

Figure 2.6 India’s installed electricity generation by type
Source: CEA (2015)

In keeping with the requirement of providing additional power, sixteen
super-critical technology-based Ultra Mega Power Plants (UMPPs),
each generating about 4000 MW, have been prioritized as a thrust
area by the Ministry of Power, Government of India, in 2005–06. These
UMPPs will be of two types—either pithead projects with dedicated
captive coal blocks, or coastal projects using imported coal. Nine such
projects have been identified to be taken up. They are awarded to
developers under the tariff-based competitive bidding path on a build,
own, and operate basis. The Power Finance Corporation (PFC), which
is the nodal agency for the development of these projects, sets up (as is
the procedure) Special Purpose Vehicles (SPVs) for each UMPP to act
as authorized representatives of the procuring distribution companies.
Once the bidding process for selection of the project developer is
completed, the SPVs are transferred to the selected bidders.
Given that there will be a continued dependence on coal-based
thermal power plants, low carbon development pathways will depend
on two things, specifically for coal-based power plants—first, the use
of super-critical technologies; second, as a pure mitigation action, the
deployment of carbon capture and sequestration. Carbon Capture and
Sequestration/Storage (CCS) refers to “the separation of CO2 from

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