Jegurupadu power project phase-II likely to be commissioned by year-end

The works relating to the second phase of the 250 mw gas-based GVK power project at Jegurupadu are progressing at a fast pace. The phase-II, being constructed by France-based Alstom at a cost of Rs 720 crore, is likely to be commissioned by the end of December 2005.

Speaking to Business Standard, V Ramarao, director (technical) of GVK Power Projects, said, "Civil works relating to the second phase of the gas-based project are nearing completion, and erection of machinery will commence soon. The second phase of power production is likely to commence from January 2006. Once the second phase is commissioned, the total power production will go up to 460 mega watts."

According to Ramarao, Alstom, which is executing both the civil works and erection of machinery, is responsible for the commissioning of the plant by the end of December 2005.

The total project cost works out to nearly Rs 1,500 crore. In the first phase, a 235-mw plant was commissioned at a cost of Rs 750 crore.

The Andhra Pradesh Electricity Regulatory Commission (Aperc) gave its consent to a 220-mw expansion of the Jegurupadu project (phase-II) on April 12, 2003. The power purchase agreement (PPA) was signed with the APTransco on June 18, 2003.

As per the agreement entered into with the Gas Authority of India (Gail) for the first phase of power generation, Gail is supplying 9 lakh cubic metres of gas per day to the plant. For the phase-II of the project, 1.1 million cubic metres of gas will be supplied.

"We expect the gas supply for the second phase by December 2005 or January 2006," Ramarao said.

GVK power plant is earning a revenue of Rs 300 crore per year on its power sale to APTransco. The price of power is Rs 2.12 per unit. Three gas turbines with a rating of 46 mw each and one steam turbine of 77 mw together form the combined cycle of Jegurupadu project.