RIL plans 800 Mw plant in K'taka

INVESTMENT INFLOW INTO KARNATAKA

The Mukesh Ambani-controlled Reliance Industries Ltd (RIL) has proposed to set up a 800-Mw gas-based power plant in Karnataka, its first in the state.

The proposal was approved by the Karnataka State High Level Clearance Committee on Investments chaired by chief minister HD Kumaraswamy here on Tuesday.

RIL will invest close to Rs 2,400 crore in the project. The power plant will come up in the Humnabad taluk in Bidar district, North Karnataka. RIL will procure the gas on its own for the project. The state expects RIL to procure gas from the Krishna-Godavari basin.

"This is the first major investment in a power project by RIL in Karnataka. The power plant will come up on 200 acres. The modalities are being worked out. We look forward to more participation by RIL in major power projects in the state," Karnataka industries minister Katta Subrahmanya Naidu said.

The minister said RIL had also expressed interest in setting up a 1,000-Mw thermal power station in Karnataka. The state has proposed three thermal power projects (1,000 mw each) in Chamalapura in Mysore district, Ghataprabha in Belgaum district and Jewargi in Gulbarga district.

Six companies including the Lanco Group, Jindal Power, Orissa Power Corporation, Torrent Power and Nagarjuna Fertilisers and Chemicals have submitted their bids.

There are only two private power projects in operation in the state at present. GMR Power is operating a 220-Mw barge-mounted power plant near Tannirbavi off Mangalore coast while Jindal Power is producing another 220 Mw at Toranagallu in Bellary district.

A third power project (1,015 Mw) is being implemented by Nagarjuna Power in Udupi district.