Neyveli gets nod for Rs 691cr capex

The government today approved investment of Rs 691.83 crore for expansion of the transmission system of Neyveli Lignite Corporation (NLC) in Tamil Nadu.

The investment would include an IDC (interest during construction) component of Rs 41.35 crore for the expansion project of transmission system associated with NLC-II, defence minister Pranab Mukherjee said today.

The project would be completed within 35 months from the date of commencement, he said.

The transmission project would facilitate evacuation of power from NLC-II expansion (2x250 MW) project and further dispersal to various beneficiaries in the southern region.

The CCEA also gave its approval for extending budgetary support to settle the commercial dispute between the kolkata-based Burn Standard Company and Mcdermott International Inc.

"A budgetary support of $6,75,000 (about Rs 3.25 crore) along with interest due on date of payment was approved for Burn Standard Company for settling the "d-15" contract liability to Mcdermott," Mukherjee said. This would enable Burn Standard to fulfil its financial obligation arising out of the arbitration.