Andhra Pradesh Chief Minister N Chandrababu Naidu will be dedicating a 172 mw gas-based power plant to the nation here today. The plant, set up by the Andhra Pradesh Gas Power Corporation Ltd (APGPC), marks the first major effort at public-private sector ownership in a core infrastructure area.
APGPC has been promoted by the state electricity board as a joint venture in which nine public sector enterprises and 15 private sector company have invested.
The public sector constituents of the Corporation include the Mishra Dhatu Nigam, the Cement Corporation of India, the Godavari Fertilisers, Indian drugs and Pharmaceuticals Ltd, Bharat Dynamics and Hindustan Machine Tools Ltd. While the 15 private sector participants include Andhra Sugars, VBC Ferro Alloys, India Cements, ITC Bhadrachallam Paperboards, Grindwell Norton, Visakha Industries and Hindustan Polymers.
Originally, APGPC was conceived for a 100 mw gas turbine power system consisting of two gas turbines of 33 mw each and a steam turbine generator of 34 mw. A decision was taken in 1996 to add an additional capacity of 72 mw . The additional capacity was synchronised last December.
Anil Kumar Kutty, director in-charge of the project, said the plant has been commissioned at a cost of Rs 2.51 crore per mw which is the lowest cost for any project concludedsince power sector reform began in 1991.
A consortium led by Sumitomo Corporation and including GE, USA and Toshiba Plant Kensetso of Japan as the equipment procurement and construction contractors completed the project in a record time of 22 months.
The consortium also extended suppliers credit of Rs 277 crore to cover the entire foreign currency supply portion of the EPC through the Japanese Exim Bank. This is the first time that the Japanese Exim Bank has extended such a loan directly to a company in the private sector in Asia without insisting on sovereign guarantees.
