GMR's gas power plant begins commercial operation

GMR Rajahmundry Energy Limited (GREL), a subsidiary of GMR Energy, today announced its 768-mw combined cycle gas ower project has started commercial operations with the beginning of gas supply under e-bid RLNG scheme.

In June this year, the Centre had introduced an auction-based RLNG allotment scheme for utilisation of stranded gas power plants, a number of which located on Andhra coast.

The 384x2 mw Rajahmundry Power remained idle ever since it was built, for want of gas linkage as gas production in Krishna Godavari basin fell to a minimum.

Under the present scheme, the plant can operate at 50% plant load factor (PLF). It was awarded allocation of gas last month along with GMR Vemagiri, which has already got operational under this scheme recently. They together have a combined capacity of 1,156 mw. The company is supplying power from these plants to the Andhra Pradesh power utilities.

 

"We are happy to receive the gas under e-bid RLNG scheme from Government of India and announce commencement of commercial operation, which will help in rationalising the power tariff and improve the power supply scenario of the state. The revenue generated through this will facilitate the GMR Energy to cover O&M(operation and maintenance) and service the interest cost," a company spokesman said.

The government will subsidise the power distribution companies to the extent of Rs 1.44 per unit from the Power Sector Development Fund.