After hydropower, the Tehri Hydro Development Corporation India Ltd (THDCIL) is diversifying into thermal energy business.
THDCIL, a mini-Ratna company, has already signed an MoU with the Uttar Pradesh government to set up 1,320 Mw Khurja super thermal power plant in Bulandshahar area. This will be THDCIL’s maiden foray into thermal power business. The company recently decided it would enter into other power businesses besides it core business of hydropower.
The company officials said the new plant will be ready in a period of five years with an investment of Rs 5,500 crore. They said the company will raise funds through financial institutions in this regard.
Under the MoU, the THDC will provide 60 per cent of the power to Uttar Pradesh and sell the remaining 40 per cent to other states like Himachal Pradesh, Rajasthan and Uttarakhand for which THDCIL has already signed power purchase agreements with these states.
After commissioning its 1,000 Mw Tehri hydel project in 2006-07, THDCIL is now on the verge of commissioning its second hydel project, 400-Mw Koteshwar dam on Bhagirathi river in February.
The company is also trying its best to setup 1,000 Mw pump storage plant (PSP) at Tehri also in the middle of 2011.
THDCIL’S present projects in the hydropower sector are extended to various states, viz Uttarakhand, Maharashtra, Uttar Pradesh as well as Bhutan. The portfolio of hydro projects with the corporation under various stages of DPR / Implementation involves a total installed capacity of 8,868 Mw.
THDCIL’s decision to enter into thermal power business came after the slowdown in the hydropower sector due to environmental and religious grounds. Last year, the government cancelled four major hydel projects in Uttarakhand alone including NTPC’s 600 Mw Loharinag Pala which was in a very advance stage.
“In Uttar Pradesh, we have signed an MoU on Khurja Project. This is just a beginning. We are looking forward to more such thermal projects in the future,” said D V Singh, director (technical), THDCIL.