In a move that would cleared an investment of R10,000 crore in the ailing power sector and give a push to PPP model, the Uttar Pradesh government is likely to sign an agreements with Isolux Corsan and Cobra MEIL Consortium for the setting up of a new transmission network in the state.
It may be mentioned that the Mayawati government has initiated ambitious plans of capacity addition of 10,000 mw by the 11th Plan and another 8,000 mw by 2014 in its bid to provide ??power to all?? by 2014. The generation of power has already been cleared but the power problem will continue without good transmission network despite sufficient power generation.
The state cabinet last week finalised two private players for setting up 3 sub-stations of 765 KV and 9 sub-stations of 400 KV to be completed within 30 months. The three sub-stations of 765 KV will be set up at Greater Noida, Mainpuri and Hapur. ?By 2014, when our new power generating units will be commissioned, these sub stations as well as the interconnecting lines, too, will be ready to evacuate the power,? said a senior official of the Uttar Pradesh Power Corporation, adding that the work of one package has been allotted to Isolux Corsan for a levellised tariff of R870 crore and the work of second package has been given to Cobra MEIL Consortium at a levellised tariff of R875 crore for a period of 35 years. ?The total value of these two projects would be approximately R10,000 crore and it would be ready in 30 months? time. The UPPCL will pay a levellised tariff for the next 35 years,? he added. Apart from these two companies, L&T and Sterlite had also qualified for the RFP stage but had fallen off at technical evaluation stage.
Of the new power plants that are in various stages of construction are the 1,980 mw Bara project in Allahabad, the 1,980 mw Meja thermal power plant, which is a joint venture project between the NTPC and UP Rajya Vidyut Utpadan Nigam, the 500 mw Paricha and 500 mw Harduaganj extension projects and the 2×500 mw Anpara D project, Anpara C and Roja thermal power plants.
Agreeing that transmission has been in the domain of the public sector and private participation in power transmission has been minimal, the official said that given the growth targets, there was an urgent need for private sector participation in transmission projects as well.
??Private participation will bring in efficiency and also facilitate large-scale funding of the transmission infrastructure. And considering the scale of investment and the volume of work required, attracting large private investment in transmission is absolutely essential. The state government has planned capacity addition to the tune of 10,000 mw by the end of the 11th Plan and once these projects are ready for generating power, we would need an adequate transmission network to evacuate the power.?
