"We have issued Letter of Intent to Sterlite Energy Limited for developing the ambitious power project of Talwandi Sabo to be set up near village Banwala in District Mansa," senior official of PSEB told PTI.
Four major power companies including Sterlite Energy, Reliance Power, Devona Thermal Power & Infrastructure Ltd (part of India Bulls) and Consortium of Lanco Infratech, Aban Offshore and OPG Energy had submitted their price bids for this project.
However, Sterlite was awarded the project for submitting the lowest price bid of Rs 2.86 per unit as levelised tariff among other companies in the fray.
"Strerlite is now supposed to supply power to PSEB at this rate for 25 years," he informed.
PSEB would soon sign a Power Purchase Agreement (PPA) with Sterlite Energy Limited in which PSEB would source power from the company at an agreed rate.