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BHEL and MPPGCL float JV to set up Supercritical Thermal Power Project in MP |
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Written by Viswanath
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Thursday, 19 November 2009 |
New Delhi: Bharat Heavy Electricals Limited (BHEL) and Madhya Pradesh Power Generation Company Limited (MPPGCL) have signed a Memorandum of Understanding (MoU) for setting up a Joint Venture Company (JVC) to Build, Own and Operate a 2x800 MW Thermal Power Plant with Supercritical parameters at Khandwa in Madhya Pradesh.
BHEL and MPPGCL would set up the JVC with initial equity equally subscribed by both the partners. Subsequently, the equity would be diluted so that the stake of both BHEL and MPPGCL is reduced to 26% each and the balance equity of 48% is subscribed to by Financial Institutions/ Banks and other partners.
The order for setting up of the power project would be placed on BHEL by the JVC on a nominated basis.
The development of this project would be taken up on priority. The first unit of the coal-based power plant would come up within 48 months of the order being placed on BHEL with the second unit will get operational within 54 months. To this end, BHEL will initiate advance action for pre-engineering activities. The TG units of 800 MW would be manufactured by BHEL at its Haridwar plant, while the once-through supercritical boilers, would be manufactured at BHEL’s Tiruchy plant.
Sh. B.P. Rao, Chairman & Managing Director, BHEL and Sh. R.B. Agarwal, Chairman & Managing Director, MPPGCL, signed the MoU.
The MoU was signed in the presence of Sh. Vilasrao Deshmukh, Hon’ble Union Minister of Heavy Industries and Public Enterprises, Government of India; Sh. Shivraj Singh Chouhan, Hon’ble Chief Minister of Madhya Pradesh; Sh. Arun Yadav, Hon’ble Union Minister of State for Heavy Industries and Public Enterprises; Sh. Rajendra Shukla, Hon’ble Minister of State for Energy & Mineral Resources, Government of Madhya Pradesh and other dignitaries, in Bhopal. |
