L&T KPCL in joint venture to set up 1600 MW thermal power plant
25 February 2010
In an effort to mitigate the power crisis in the Karnataka, the state government yesterday signed an MoU with L&T to set up 1,600 MW pit-head power plant in Chattisgarh. The joint venture project envisages a 1600 MW (2x800MW) super critical thermal power project at Godhna in the state.
The agreement was singed by KPCL managing director S M Jaamdar and L&T chairman and managing director A M Naik in the presence of chief minister B S Yeddyurappa. The implementation of the project will involve an outlay of Rs10,000 crore, the work on which is expected to be completed in three years.
According to chief minister B S Yeddyurappa, the state would bear Rs5,000 crore while L&T would bear the rest of the cost involved.
KPCL and Chhattisgarh State Electricity Board had signed the MoU for the project in Raipur in September 2008 for 1200 MW output which has now been enhanced to 1600 MW.
The Chhatisgarh government has decided to allot 1.84 TMC of water from Mahanadi River for the project while KPCL has assigned the work of conducting the socio-economic survey of displaced families to Tata Institute of Social Sciences, Mumbai. The survey would help implementation of rehabilitation and resettlement measures by KPCL.
The chief minister said the state had been facing severe power shortage due to the increasing energy demand from various sectors of the economy.
The Karnataka government aims to add 5,000 MW to the existing capacity in its five year term of which it has already added 740 MW till last year.
The chief minister said all efforts would be made to purchase power from other states and agencies.