BHEL bags Rs 5,000-cr contract from Telangana power utility

The order is for setting up a power plant in Khammam district on EPC basis

Telangana State Power Generation Corporation Limited (TSGenco) has awarded Bharat Heavy Electricals Limited (BHEL) with an EPC (engineering, procurement and construction) order for setting up a 4x270-Mw thermal power plant in the state.

Valued at over Rs 5,000 crore, the order envisages setting up the power plant at Manuguru in Khammam district. The project is targeted to be commissioned in 24 months on a fasttrack basis with both TSGenco and BHEL setting up teams to expedite clearances and execution of the project, a BHEL release stated on Monday.

Earlier, in December 2014, the power utility had placed an order with BHEL to set up the state’s first supercritical thermal power plant of 800 Mw rating, also on an EPC basis, at Kothagudem.

TSGenco has also entered into a memorandum of understanding (MoU) with BHEL for construction of new thermal power plants totalling 6,000 Mw in the state. All these power plants are expected to commence generation within the next three years to meet the state's increasing demand for power. With the order for Manuguru project, 1,880 Mw has already been awarded to BHEL.

To overcome the current uncertainty of coal supply, according to BHEL, the public sector undertaking will use its in-house developed fuel flexible boiler in the proposed power plants. This boiler is capable of firing the entire range, from 100 per cent Indian to 100 per cent imported mix of coal. It is anticipated that the use of this boiler will provide security against variation in design coal and the coal actually available during operation, thereby offering operational flexibility for uninterrupted generation.

BHEL’s scope of work in the project includes design, engineering, manufacture, supply, construction, erection, testing and commissioning of the 4x270 Mw thermal sets. The key equipment for the contract will be manufactured at BHEL’s Trichy, Hyderabad, Haridwar, Bhopal, Ranipet, Bengaluru and Jhansi plants, while the company's power sector - western region will be responsible for civil works and erection / commissioning of the equipment.