The operations of the Kerala Paper Products Limited (KPPL), which looks to begin commercial production of newsprint, will soon enter into a new power supply agreement with the Kerala State Electricity Board (KSEB).
A decision in this regard was taken at a ministerial-level meeting attended by Industries Minister P. Rajeeve and Minister for Electricity K. Krishnan Kutty in Thiruvananthapuram on Thursday. KSEB chairman B. Ashok and KPPL Special Officer Prasad Balakrishnan were also present on the occasion.
Two phases
According to the Mr. Rajeeve, the new contract will entail two phases, which begins with an interim agreement to cover the current phase of implementation of the renovation and revival of the company. Later, when the plant is ready for commercial production, it will enter into a renewed contract considering maximum demand for power.
The Minister also informed that the Forest department had in principle agreed to supply timber and raw materials at reasonable rates to the unit. A proposal in this regard will be submitted to the Cabinet soon.
“The entire volume of wastepaper generated across government offices, institutions and agencies will be converted into raw material for pulp production. A proposal in this regard is under the active consideration of the government,” he said.
First phase completed
The company, meanwhile, has completed the first phase of revival with its paper machine, de-inking and power boiler plants all set for commercial production. The second phase of recommissioning of wood pulping streams is progressing rapidly, on completion which the mechanical pulping plant, chemical pulping plant and chemical recovery plant will be ready for production.
“The unit is slated to commence full-scale commercial production by October this year. An amount of ₹154.4 crore is being spent for the first two phases,” added Mr. Rajeeve.
