UP signs deals worth Rs 10,500 cr for power
Three power projects taken up by Reliance Energy Limited, Lanco Group and GVK Reddy Group will start generation of power by the year 2010.india Updated: Nov 12, 2006 19:51 IST
In a significant move to make Uttar Pradesh self-sufficient in power, the Uttar Pradesh government on Sunday signed power purchase agreements for 1,930 megawatt with three major power players - Reliance Energy Limited, Lanco Group and GVK Reddy Group.
Three power projects - Roza Thermal Power Project (600 mw) taken up by Reliance Energy Limited, Anpara-C Thermal Power Project (1000 mw) by Lanco Group and Srinagar Hydro-electricity (330 mw) by GVK Reddy Group located in Pauri Garhwal district of Uttaranchal - will start generation of power by the year 2010.
The three companies will invest over Rs 10,500 crore in the power projects.
Speaking on the occasion, Chief Minister Mulayam Singh Yadav said under the new energy policy the state government has planned to make Uttar Pradesh self reliant in power sector through public-private participation.
He said the Roza power project in Sahjahanpur district would cost Rs 2,641 crore and the cost per unit generation of the power would be Rs 2.15 paisa. The cost of Srinagar Hydro- electricity power project would be Rs 1,978 crore. The cost of power generated by the 1000mw- Anpara-C Thermal power project would be Rs 1.91 paisa per unit.
Mulayam further said the country and states would progress only with the support of the business groups.
He assured Anil Ambani (Reliance Energy Limited), GVK Reddy (chairman of GVK Group) and L Madhusudan Rao (chairman chairman of Lanco Group) that the state government would remove all the hurdle in the completion of the power projects.
Chairman of the UP Development Council Amar Singh said complete transparency was maintained in the bid of the three projects. Lanco Group was given preference over the Reliance Energy Limited since the quotation per unit was lowest by Lanco Group.
Anil Ambani said all the three companies got the project on the merit basis. Roza power project was on card for more than 10 years. Earlier, Kumar Mangalam Birla had shown interest in the project, but afterwards he could not proceed with the project. Now we have taken mantle to make the project a reality. The completion of the project would require 40 months time with investment of Rs 2,500 crore.
"I am personally involved in the development of Uttar Pradesh and continue to play a major role in the energy sector," Anil said, adding that the power policy approved by the Chief Minister Mulayam Singh Yadav was a model policy and even appreciated by the Centre.
Reliance Energy Limited has planned to develop Dadri as Dhirubhai Ambani Energy City. We will produce 5,600 MW clean and green gas. All the obstacle in the completion of the project would be removed soon", he said.
Madhsudan Rao said Anpara–C Thermal Power Project would prove to be a benchmark in the development of the state. "We won the bidding and are confident to complete the project on schedule," he said.
GVK Reddy said there is Ram Rajya in Uttar Pradesh. Reddy has taken over this project from the Tatas. Two states are involved in the hydro-electricity project. Though the project is to be completed in four and half years, the Reddy group will complete it in three years time.