Sterlite bags Rs800 crore transmission project from PFC
22 February 2010
Sterlite Technologies Ltd today announced that it has bagged a mega transmission project, costing about Rs800 crore, from the state-run Power Finance Corporation (PFC) for its east-north interconnection project.
The company has been awarded the letter of intent by PFC for the project, the transmission solutions provider said in a statement to the National Stock Exchange. The project was won by the company on the basis of its technical and financial credentials through a tariff based bidding process conducted by PFC, it said.
The project has been awarded to Sterlite on a build, own, operate and maintain basis, wherein the transmission lines would be commissioned within three years and the company would operate and maintain the same for a minimum tenure of 22 years thereafter, it said.
The union ministry of power has initiated a scheme for development of independent power transmission projects through private sector participation for evacuation of power from the generation stations, strengthening the grid and transmission of power from pooling stations to the other grid stations and load centres.
The east-north interconnection mega transmission project, which aims to evacuate power from the north-east and eastern states to the northern region in the country, is the first mega independent power transmission project to the awarded in India.
Under the ministry of power's scheme for development of independent power transmission, projects would be taken up with private sector participation, for transmission of power from generating stations, strengthening of the grid and transmission of power from pooling stations to other grid stations and load centres.
The project involves establishment of two 400KV double circuit transmission lines connecting Assam with West Bengal and Bihar.
"The award of this project provides great scope to diversify into the growing sector of power transmission with similar opportunities available in future," Sterlite Tech CEO and director, Anand Agarwal, said.