Question : Delay in Execution of KNPP

(a) whether there was huge cost escalation due to delay in the execution and commissioning of the Kudankulam Nuclear Power Project (KNPP);

(b) if so, the details thereof and the reasons therefor; and

(c) the steps taken by the Government to rectify the deficiencies noticed in execution of the said projects?

Answer given by the minister

THE MINISTER OF STATE FOR PERSONNEL, PUBLIC GRIEVANCES & PENSIONS AND PRIME MINISTER’S OFFICE (DR.JITENDRA SINGH):


(a)&(b) The original approved completion cost of Kudankulam project Units 1&2 (KKNPP 1&2 – 2X1000 MW) was Rs.13171 crore. The project has been completed and the units are in commercial operation. The completion cost is to be Rs.22462 crore. The increase in cost has been mainly on account of additional scope of work, escalation, Interest During Construction (IDC) and foreign exchange variation.


The delay in the completion of Kudankulam Units – 1&2 (2X1000 MW) were mainly due to delays in sequential receipts of equipment from Russian Federation and subsequent local protests at the site. The domino effect of the protests, demobilization & subsequent remobilization of resources, various litigations, meeting the directives of the Honorable Supreme Court by various agencies before commissioning of the plant took time. In addition, being the first-of-a-kind reactor in India of large unit size and with many imported equipment/components, the reviews and regulatory clearances also took time.

(c) Presently, KKNPP-1&2 (2X1000 MW) are in commercial operation. They have cumulatively generated about 24335 Million Units of electricity as on February, 2018. The lessons learnt from KKNPP-1&2 are being taken care of in the implementation of subsequent units at the site. Also, a structured ongoing public outreach programme based on a multipronged approach is implemented to address the apprehensions of the people about safety of nuclear power and related issues and allay their concerns in a credible manner.


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