GAIL India, which proposes to increase its pipeline handling capacity to over 300 MMSCMD at an estimated investment of Rs 20,000 crore by 2011-12, plans to enter into wind power sector. It proposes to set up 4.5 mw of wind power project in Gujarat with an investment of over Rs 25 crore. Apart from Gujarat, GAIL India has also identified Maharashtra and Rajasthan for the development of wind power projects. The company proposes to have a total installed capacity of 23.5 mw of these projects.

GAIL India chairman and managing director UD Choubey told FE on Monday, “We have amended articles of association to foray into the wind power sector. The project will come up in Gujarat. The power from the proposed wind power project will be used mainly to meet company’s internal demand at its various units.” GAIL has joined the likes of state-run Oil & Natural Gas Corporation (ONGC), NTPC, Nuclear Power Corporation (NPC), Reliance Power, Tata Power to develop wind power project.

Sources said that GAIL India has launched an exercise to appoint a project management consultant (PMC) to manage and control all aspects of the project’s execution and ensure timely completion of the venture. The PMC will execute various activities under the project like preparation of Lumpsum Turnkey (LSTK) contracts and development and finalisation of an operation and maintenance contract.

The PMC will carry out overall project management comprising of services for construction management, procurement, timely supply of materials, physical inspection of major equipment received at the project site, quality management and supervision. Other responsibilities of the contractor will include overall responsibility for the implementation of wind power project to get the assured minimum annual power generation as indicated by LSTK bidder, review and approval of engineering, design, specifications and drawings developed by the LSTK contractor and providing assistance during the pre-commissioning and commissioning stages.

Preparation of the LSTK tender and the operation and maintenance contract is expected to be completed within three weeks from the date of award of the PMC contract. Subsequently, the process of reviewing bids and issuing a recommendation for the award of contract will be carried out in a period of two weeks. Furthermore, project close out and post commissioning assistance will be provided for a period of six months from the date of commissioning of the project.