NTPC abandons Arunachal plans

The ambitious plans of Arunachal Pradesh for developing hydel power generation projects may hit a roadblock.

Of the two projects indicated to the National Thermal Power Corporation Ltd for development, the power-generation major does not want to develop Hutang-I. It may develop a 300-Mw hydel power generation project in Andhra Pradesh and may also partner with the Nuclear Power Corporation of India for its proposed nuclear power plant.

Arunachal Pradesh had offered Hutang-I and II and Kalai-I and II for development to the corporation (NTPC), which had initially decided on Hutang-I and Kalai-II.

"We now don't want to develop Hutang-I as the project is economically unfeasible," company sources told Business Standard.

NTPC has also firmed up plans to develop the projects only if it is allotted Hutang-II along with Kalai-I and Kalai-II. The three projects have a combined capacity of around 3,900 Mw and may require an investment of around Rs 19,500 crore.

The corporation is buoyant about its proposed 2,000 Mw nuclear power plant plans. "The company may partner with the Nuclear Power Corporation of India as it does not have the expertise in setting one up," sources added.

NTPC has already appointed consultants for its nuclear power plans and is talking to GE Energy for technology and fuel.

The hydel power plant in Andhra Pradesh which NTPC is considering involves an investment of Rs 1,500 crore and the proposal is in tune with its plans to have a significant share of hydro-power in its generation portfolio.

NTPC generates around 20 per cent of the total installed power in the country and plans to build a capacity of around 66,000 Mw by 2017.