JSL, Gridco sign Power Purchase Agreement

JSL Ltd (formerly Jindal Stainless Ltd) today entered into a Power Purchase Agreement (PPA) with Grid Corporation of Orissa Ltd (Gridco), the bulk purchaser of power in the state, for its 1320 MW Independent Power Plant (IPP) proposed to be set up at Luni in Dhenkanal district at an investment of Rs 7375 crore.

The PPA was signed by Rajdeep Mohanty, resident director, JSL and A C Mallik, director (commercial), Gridco in the presence of P K Jena, the state energy secretary and Hemant Sharma, managing director of Gridco.

With the signing of this agreement, JSL will be in a position to supply 158MW of power to the state grid on continuous basis, thereby helping the state during power crisis.

Besides, JSL, through its CSR (Corporate Social Responsibility) activities, will take up environmental & development work in the Dhenkanal district.

The project has an employment potential of 2600 which includes both direct and outsourced jobs.JSL Ltd is forming a new company called JSL Energy Ltd for its upcoming IPP and this company will be registered in Orissa, said Mohanty.

“The company is also focused to establish an ITC in Gardpur Block of Kendrapada District as a part of its community development initiative”, he added.JSL is also setting up a 1.6 million tonne per annum (mtpa) stainless steel plant at Kalinga Nagar Industrial Complex in Jajpur district.

The first stainless steel production of 0.8 mtpa will commence from the first quarter of 2011.