NHPC arm to take up 3 hydro projects in MP

The Narmada Hydroelectric Development Corporation Ltd (NHDC) has decided to execute and commission three hydel power projects in Madhya Pradesh.

The NHDC is a subsidiary of the National Hydropower Development Corporation (NHPC) and the Madhya Pradesh government.

The company, which has commissioned the 1,000 Mw Indira Sagar power project, plans to construct the three projects of 60 Mw each between Bargi (Jabalpur) and the Indira Sagar project.

The Narmada Valley Development Authority has identified the sites at Hoshangabad, Bouras and Handia, and has planned to invite private partnerships in these projects. Mandideep-based LNJ Bhilwara group HEG Ltd had shown interest, but things did not progress much.

"We have been asked to prepare a detailed project report, which will be ready by December. We are aiming at starting construction on these projects by next year and completion by 2010," SK Garg, chairman of the NHPC, told Business Standard.

The three projects will cost the NHDC around Rs 550 crore or more since 1,600-2,000 families are to be rehabilitated and resettled.

"The MP government and the central government are likely to enter into a memorandum of understanding for the purpose within a month," SK Dodeja, chief executive officer, NHDC, said, adding, "funding will be no issue since the 1,000 Mw Indira Sagar Project and the 520 Mw Omkareshwar power project will be running smoothly by then. More important, the power will cost Rs 2.68 per unit."

The company has decided to convert the two projects of 50 Mw each into 60 Mw. Thus the combined power generation capacity of the state will be augmented by 180 Mw.

The NHDC is completing Omkareshwar project, which is expected to start generating power by June. As regards components like power generators, Dodeja said, "We are talking with various companies for the purpose but we will use the Kaplan type of generators for the power house."

The Indira Sagar project is generating 625 Mw.

"So far we have generated power at Rs 1.60 per unit," said Dodeja. The NHDC is expecting to generate and supply power from the Omkareshwar project at Rs 2.40 per unit against the estimated Rs 3.44 per unit.

"It will be possible because we are running ahead of schedule of the project," Dodeja said.