MoU signed in Tamil Nadu GIM, Adani group seeks nod for Rs 11,340-crore pumped storage project in Vellore

Adani Green Energy, AGEL, environmental clearance, Ministry of Environment, MoEFCC,CHENNAI: Adani Green Energy Ltd (AGEL) has applied for environmental clearance with the Ministry of Environment, Forest and Climate Change (MoEFCC) for its 1800 MW off-stream closed-loop pumped storage project (PSP) in Alleri village in Vellore at Rs 11,340 crore.

AGEL has entered into a memorandum of understanding with the state government at the Global Investors Meet 2024 in January to set up three PSP projects in the next five to seven years, with an investment of Rs 24,500 crore. AGEL has written to the director of the Expert Appraisal Committee for River Valley and Hydroelectric Projects, MoEFCC, applying for the terms of reference (TOR) approval.

The proposed Alleri PSP is located near Arasampattu village at the foothills of the Arasampattu hills of Vellore district. It is a closed-loop off-stream scheme with two new greenfield reservoirs utilizing storage for energy generation. The upper reservoir would be located in the Arasampattu hills near Nellimarathukollai village, while the lower reservoir would be at the foothills of the forest hills near Sivanathapuram village in the district.

A major source of water for the PSP will be the Palar River with a time allocation of 13.20 million cubic meters. The water would be utilized by recirculation between upper and lower reservoirs. The project envisages meeting the peak power demand in the Southern region, including Tamil Nadu, for about 6.18 hours, with an estimated annual energy generation of 3859.32 million units. The pumping of water from the lower reservoir to the upper reservoir is estimated to an annual energy requirement of 4,828.83 MU at 7.03 hours of pumping daily. The levelized cost of generation of the project has been estimated at Rs 9.10 per unit, considering the energy cost for pumping at Rs 3 per unit.

The total land requirement for the proposed project is about 412.24 hectares, including 312.24 hectares of forest land in the Arasampattu Reserve Forest. The project involves the construction of the upper reservoir, lower reservoir, water intake, pressure shaft, powerhouse, tailrace tunnel, construction facility areas, and access road to project components.

TANGEDCO has an ambitious plan to set up 15 PSP projects with a combined generation capacity of 14,500 MW, including three projects through the NTPC. It plans to take up Sillahalla Stage-I and Stage-II (1000 MW each), Kodayar (1500 MW), Manalar (1200 MW), Aliyar (700 MW), and other eight projects through the PPP mode. It has already applied for environmental clearance for the 1000 MW Sillahalla Stage-I, 1500 MW Kodayar, and 1200 MW Manalar PSP projects.