NTPC plans to take up hydel projects in AP

Projects to range between 25-35MW

In a bid to attain the right mix between hydel and thermal energy, National Thermal Power Corporation (NTPC) is planning to take up hydel power projects in Andhra Pradesh.

Addressing the media here on Tuesday, S V Moorthy, executive director of NTPC Southern Region, said that the state government has already extended permission to conduct surveys for the identification of sites for setting up of these hydel units.

"The size of these projects would range between 25 mw and 35 mw," he said adding that the corporation had already identified some places like the Jurala reservoir in Mahaboobnagar district, where APGenco was also setting up a hydel project. "Though hydel generation may not mean much in terms of capacity addition, it is necessary for the corporation to have a hydro-thermal mix to keep the pooled cost at a minimum," he stated.

NTPC's sale price of power to state utilities during 2003-04 has been at an average Rs 1.37 paise per unit, down 10 paise when compared to last year. The average cost of power generation is around Rs 1.15 paise per unit at the super thermal station at Ramagundam while it is Rs 1.34 paise with regards to the new Simhadri power project.

NTPC is also keen to commission the Rs 1,098-crore seventh unit of Ramagundam Super thermal Power Station which is under execution, by the end of the current financial year, according to Moorthy. "Originally the project was scheduled to be commissioned in the month of August, 2005. But as the state government wanted, we plan to start the unit by March 2005," he said.

Among the major expansion projects in the southern region in the 10th and 11th five year plan period, the price bids for the 2,300 mw Kayamkulam expansion project are slated to be opened. When completed this will be the NTPC's biggest LNG/ natural gas based power plant in the country. The project cost is estimated to be about Rs 7,584 crore.

Moorthy said that the corporation has kept its option open with regard to fuel. "We will use the fuel which ever is relatively cheaper," he said.

NTPC has also set up a joint venture company in association with the Tamil Nadu government to undertake a 1,000 mw plant at Ennore.

Moorthy claimed 100 per cent recovery of bills from the various state power utilities in the country, as the Reserve Bank of India as a securitisation measure had allowed NTPC to raise bonds equivalent to the entire liability of Rs 15,788 crore. Prior to securitisation, bill dues from APTransco were about Rs 1,216 crore.