Tata Power gets LoI to develop Jalpura Khurja power transmission project

Tata Power on Friday said it has received a letter of intent from REC Power Development and Consultancy to develop the Jalpura Khurja Power Transmission project at an estimated cost of Rs 838 crore.

In an exchange filing, Tata Power said, "It has received a letter of intent (LoI) from REC Power Development and Consultancy Ltd (RECPDCL) -- a wholly-owned subsidiary of REC Ltd -- to acquire Jalpura Khurja Power Transmission Limited, a project special purpose vehicle".

The estimated cost of the project is Rs 838 crore, Tata Power said.

The project SPV will be developed on a build-own-operate transfer (BOOT) basis to provide transmission service for 35 years from the scheduled date of commercial operation (SCOD), 18 months from the date of SPV acquisition.

RECPDCL, a wholly-owned subsidiary of REC Limited, has been acting as bid process coordinator (BPC) for tariff-based competitive bidding (TBCB) in transmission line projects and RE-bundling projects.

Under the Ministry of Power, REC Limited is a non-banking finance company (NBFC), and infrastructure financing company (IFC).