Five gas-based power plants revived through e-auction

The Centre has stated that it has revived five partly stranded gas-based power generation plants in a transparent and competitive reverse e-auction process.

The revived plants would generate 644 million units of electricity which will be supplied at or below Rs 3.39 per unit to the purchaser Discoms during the peak summer months from June 1, 2015 to Sept 30, 2015. This will involve government support of Rs. 119.99 crore from the Power System Development Fund.

The grid connected gas based power generation capacity in the country is 24,150 MW. Of this, a capacity of 9,845 MW had supply of some domestic gas and is currently operating at an average PLF of 32.2 percent.

These comprise 23 plants of which only six plants have a PLF higher than 35 percent. Thus 17 plants with a PLF of less than 35 percent were eligible to participate in the auction process held today.

In the auction held today, eight plants with a cumulative installed capacity of 4,872 MW participated in the technical bid round and all were declared as technically qualified.

The auction was meant to determine the plants which were seeking lowest per unit support for sale of power to Discoms.

Auctions held yesterday and today have resulted in revival of a cumulative gas based generation capacity of 10,270 MW resulting in generation of additional 5.70 billion units of electricity during the peak summer months.

The reverse e-auction for the stranded gas-based plants was conducted under the newly approved scheme for utilization of Stranded Gas Based Generation Capacity.