November 28, 2001

RAJYA SABHA

'28'

SETTING UP OF MEGA POWER PROJECTS BASED ON IMPORTED COAL

        The Pipavav Mega Power Project of 2000 MW in Gujarat is proposed to be based on either imported coal or Liquified Natural Gas (LNG). The Krishnapatnam Thermal Power Project of 1500 MW in Andhra Pradesh and the Cuddalore Thermal Power Project of 1000 MW in Tamil Nadu are proposed to be based on a blend of domestic and imported coal. This information was given in the Rajya Sabha here today by the Minister of State for Power Smt.Jayawanti Mehta in reply to a written question.

        The estimated cost and the commissioning schedule of the Pipavav Mega Power Project and the Krishnapatnam Thermal Power Project will be known only after the developers of these projects are selected on the basis of tariff based bids through international competitive bidding (ICB) process. The proposal to implement the Cuddalore Thermal Power Project has been subsequently dropped in view of the difficulties encountered in availability of land and readiness of the Cuddalore port. In accordance with the revised mega power project policy of the Government of India, Power Trading Corporation (PTC) has been incorporated for the purpose of buying power from mega power projects under long-term Power Purchase Agreements (PPAs) and selling the power to the beneficiary States also under long-term PPAs.