Shanghai Electric to supply $8.2 bn power equipment to RPower

Chinese power equipment maker Shanghai Electric Group Co has said it will supply $8.29 billion worth of generators and components to Anil Ambani Group's coal-fired super-critical thermal power plants.

In a filing to the Hong Kong stock exchange, the company said "contracts (for the supply) order are expected to be signed" today.

The $8.291 billion contract with Anil Ambani group firm Reliance Power is for 36 coal-fired generators of 660-megawatt, and spare parts to be supplied over a decade for three power stations.

The deal is for supply of equipment for the three ultra mega power projects, each with a capacity of nearly 8,000 MW.

Shanghai Electric will supply equipment to Krishnapatnam ultra mega power project, Chitrangi project and Tilaiya power plant -- each of 7,920 MW.

Every project will be built in two phases, each phase consisting of six units of 660 MW coal-fired super critical thermal power plants.

Reliance Power Chairman Anil Ambani in is Shanghai for signing of the contract.

Shanghai Electric said it will deliver the equipment at the rate of three to four units a year, starting 2011.

Reliance Power plans to increase its generating capacity to 25,000 MW by 2015, from 600 megawatts at present.

According to RPower website, coal for the Krishnapatnam power project in Nellore district of Andhra Pradesh is planned to be imported from Indonesia. The project is "scheduled to come on-stream by September 2013, when the first unit is commissioned and the project is scheduled to be fully commissioned by October 2015."

The first unit of the Tilaiya ultra mega power project at Hazaribagh District in Jharkhand, "is scheduled to be commissioned in May 2015 and the project is scheduled to be commissioned by May 2017," RPower said on its website.

The Chitrangi plant will be set up at Singrauli district of Madhya Pradesh.