The power situation in Bihar is likely to look up in 2008 with two closed thermal energy units almost ready to generate electricity and a number of small projects lined up for execution, Chief Minister Nitish Kumar has said.
"Renovation work at the closed Barauni and Kanti thermal power plants is nearing completion and it is expected that both the units will soon start generating about 400 MW of electricity daily," Kumar told PTI.
He said several small hydel projects are also being executed for creating additional energy.
The National Thermal Power Corporation Limited and the state government had already signed an agreement for setting up a 1,980-MW electricity generating plant at Nabi Nagar in Aurangabad and work on it would start next fiscal, Kumar said.
"Besides, a private company opting for setting up a power generating unit in the state, we have also signed pacts with Power Grid Corporation for strengthening the transmission system," he said.
"At this stage I cannot say what will be the outcome of our efforts but the people of Bihar should be assured that steps taken by us will be fruitful and we will be able to meet our energy demands," he claimed.
Kumar said Bihar had only 584 MW of installed capacity, of which 540 MW is thermal and the rest is hydel.
"But there is hardly any generation from the thermal stations. Muzaffarpur is down and Barauni produces only 30 MW at peak hours as its generation cost is very high," he said.