Sterlite Energy Ltd has emerged the lowest bidder for an 1,800 megawatt thermal power project in Punjab, pipping Reliance Power and Lanco Infratech among others, a senior official at the Punjab State Electricity Board said on Tuesday.
The company, a 100 per cent subsidiary of Sterlite Industries Ltd., is likely to sign the power purchase agreement in August. The plant at Talwandi Sabo will comprise three units, each with a generation capacity of 600 megawatts and the first of these is expected to start production by 2012.
Sterlite will sell power from this plant at Rs 2.864 per unit.
Ten companies had originally submitted their bids for the project. One of them, GVK Power Infrastructure, was disqualified on technical grounds. Out of the remaining nine, only four turned for final bidding.
Besides Reliance and Lanco, India Bulls-promoted Devona Thermal Power & Infrastructure was the fourth company that made to the final round. Power Finance Corp has been nominated as the nodal agency for monitoring execution of the project.
Talwandi Sabo Power Ltd., a special purpose vehicle floated by PSEB, has completed the groundwork that includes land acquisition, obtaining environmental, forest and other clearances and has also tied up the water and coal linkages apart from conducting the bidding process.