Bharat Aluminium Company (Balco) today signed an MoU with the Chhattisgarh government to set up a Rs 5,000 crore, 1,200 MW coal-based power project in the state.According to the MoU, the Chhattisgarh State Electricity Board (CSEB) will purchase a portion of the power generated to cater to the state's requirements.The project is estimated to be completed in 40 months once all the regulatory and statutory approvals are received."I am happy to announce that with the several projects coming on stream soon, we will double our power generation," Chief Minister Raman Singh said after signing the MoU.The Chhattisgarh government assured BALCO that it will help the company secure coal linkage/coal mines from within the coal-rich state. The government will also assist BALCO in securing single window clearances for the project.Of CSEB's total purchase, 5% will be at variable cost (7.5% in case of generation using coal from captive coal block). The plant will also supply surplus power to other state distribution entities.
