NTPC Ltd has joined hands with public sector steel major Rashtriya Ispat Nigam Ltd (RINL) to set up a 150-mw lean gas-based combined/cycle power plant at Visakhapatnam. The CMDs of both the public sector majors have signed an agreement at Visakhapatnam on Friday to this effect.
The proposed project will be established in a 50:50 joint venture. They also decided to promote a joint venture company, christened NTPC-RINL Power Company Ltd, the company stated in a release. The other details of the project and funding pattern are to be worked out soon, the RINL spokesman said. The project is expected to provide the power required to RINL at the bus bar level of the project. While the NTPC will have management control of the proposed joint venture and its chairman will be nominated by NTPC, the release added. It is estimated that the average power demand for RINL at 6.3 million tonne capacity will be about 418 mw, while the company is presently generating 226 mw power, which is sufficient at the present operating level of 3.6 million tonne.