According to reports, Anil Ambani-led Reliance Power on Monday said it would earn Rs 2,000 crore by trading carbon credits from its ultra mega power plant (UMPP) in Tilaiya, Jharkhand, during the first 10 years of its operations.
In a statement, the company said it had got the approval for carbon credits from the United Nations Framework Convention on Climate Change (UNFCCC).
The Clean Development Mechanism Executive Board of UNFCCC allows the Tilaiya project, which will be commissioned during the 12th Five-Year Plan period, beginning April 2012, to earn certified emission reductions, which can be traded, sold and translated into direct revenues, the company said.
“This is recognition of the company’s commitment to use of clean, green technologies for reducing carbon footprints and sets a benchmark in the country,” CEO J P Chalasani said.
The 3,960-Mw Tilaiya UMPP would generate 21.3 million carbon credits during the first 10 years, R-Power added.
Tilaiya is a pit-head-based project on super-critical technology. Jharkhand Integrated Power Ltd has entered into a 25-year power purchase agreement with off-takers for its entire capacity at a competitive tariff. The project would supply power to 18 off-takers in 10 states.