BHEL signs MoU with TS Genco to set up 6000 MW power capacity

Bharat Heavy Electricals Limited (BHEL) has signed a memorandum of understanding (MoU) with Telangana State Power Generation Corporation (TS Genco) for setting up 6,000 MW thermal power capacity in Telangana.

BHEL chairman and managing director B Prasad Rao and TS Genco chairman and managing director D Prabhakar Rao on Saturday signed the MoU in the presence of chief minister K Chandrasekhar Rao.

BHEL will execute the project on engineering, procurement and construction (EPC) basis over a three-year period, a statement from the chief minister's office said.

TS Genco has an installed power generating capacity of 4,364 MW and has technical capability in the area of installing, operating and maintaining power plants, the release said.

BHEL, a central public sector undertaking, has already completed thermal power projects in Bhupalapally, Singareni Colleries and Kothagudem in Telangana and these projects are performing above the national average in terms of plant load factor, according to the release.

BHEL offers a range of services in the power sector, including project feasibility study, design, manufacture, supply, erection and commissioning and after sales service.

The newly-created state is facing heavy electricity shortage, which has affected domestic, industrial and agriculture sectors and the state government is planning to purchase 2,000 MW of power to meet urgent needs of the state.

Meanwhile, the chief minister reposed faith and confidence in BHEL, which would execute the project as the nominated engineering procurement and construction contractor within three years, the release added.