Tata Power inks MoU with Orissa for 1000MW plant

State facilitates the project via single window clearance.

Tata Power Company today signed an MoU with the Orissa government for a 1000 mw coal-based power project with captive coal mines. This was among the 10 MoUs signed by the Orissa government today.

The project is estimated to cost around Rs 4,300 crore and will be set up at Naraj Marthapur in Cuttack.

Another 1,000 mw unit will be set up in the second phase of the project to take the capacity to 2000 mw with a combined investment of Rs 9,000 crore. According to the company, the Orissa government had promised comprehensive assistance to the project through single window clearances and other approvals.

On September 27, Tata Power will be formally launching its Maithon power plant project as a joint venture company with Damodar Valley Corporation with 1,000 mw capacity. Union Power Minister Sushil Kumar Shinde will be conducting the formal groundbreaking ceremony of the project at Maithon, on the Jharkhand-West Bengal border.

The Orissa government will also recommend to the Centre for allocation of captive coal blocks or will assist in necessary coal linkages for the project.

A government-nominated agency will purchase a portion of the power generated. A power purchase agreement (PPA) will be subsequently signed for this purpose.

Tata Power will also sell power to distribution entities in other states.

The company will also serve the power requirements of Tata Steel's proposed plant in the state and other large industrial units in Orissa. Adi Engineer, director of the Tata Power Company, said the MoU would help meet the power requirements of the state.

Tata Power will also be increasing its national footprint with this project, he added. The MoU with Orissa follows a similar MoU signed with Maharashtra.

Tata Power has installed generation capacity of over 2300 mw with presence in thermal, hydro, solar and wind, transmission and distribution.

Tata Power is promoting the Maithon Power Ltd as a joint venture company with Damodar Valley Corporation for a 1000MW project, Powerlinks

Transmission Ltd. with PowerGrid Corporation Ltd. for evacuation of power from Tala hydro plant in Bhutan to Delhi and North Delhi Power Limited with Delhi Vidyut Board for distribution in North Delhi.