Tata Power Company (TPC) will pump in around Rs 6,000-6,500 crore in the next 3 to 4 years for producing around 1,300 mw.
TPC?s growth in the state is linked to Tata Steel?s expansion plans. TPC managing director Prasad R Menon, who was here on Wednesday to attend the groundbreaking ceremony of the company?s fifth 120-mw thermal power unit, said the company?s sixth unit, also of 120 mw, would be located inside the Tata Steel factory in the state. It would run on gases emitted by the steel major?s biggest 2.5 mtpa blast furnace, which is under construction.
?With more expansion taking place at Tata Steel, we have a major role to play,? said TPC managing director, adding while the fifth unit would be the first step in that direction, its gas-based sixth unit would be commissioned next year.
The fifth and sixth units, with 120 mw capacity each, will cost TPC around Rs 1,080 crore. Currently, the power utility has a generating capacity of 427 mw at Jojobera, which includes a 67 mw plant, inherited from Tata Steel, and three other thermal units of 20 mw each.
The fifth unit will be the last one that can be accommodated within the Jojobera premises. TPC is also keeping in mind Tata Steel?s expansion plans in the state which is going up to 10 million tonne per annum. It is negotiating with the Jharkhand government for around 1,000 acres near Galudih (Ghatsila), of which 500 acres will be utilised for generating a minimum of 500 mw, while the other 500 acres will be for disposing of fly ash.
?We are looking for land near Jamshedpur and coal linkage/block for the project from the government,? added Menon. The power utility has been allocated the Tubed coal block in Latehar district of Jharkhand where it is to put up a 500 mw plant at a cost of Rs 2,250 crore.
Asked how soon the Tubed project would come up, the TPC managing director said it would ?depend on how quickly we are able to develop the area.?
The company is also looking at supplying power to Tata Steel?s 6 mtpa greenfield project at Kalinganagar in Orissa. It is looking for land for the project and is understood to have been recommended a coal block in that state.
?We understand that a coal block has been recommended for us in Orissa and Tata Steel also has been recommended a coal block in Jharkhand,? said Menon, adding that the final decision on allocation is yet to come for both the blocks.
Besides, TPC is in a 74:26 joint venture with DVC, setting up a 1,050-mw plant in Maithon, Jharkhand with an assurance of a coal linkage from the government for its first 525-mw unit.