BHEL, MPPCGL to Set up Thermal Power Plant in Khandwa

Bharat Heavy Electricals Ltd (BHEL) and Madhya Pradesh Power Generating Company will ink a joint venture agreement later this month to set up 2X800 MW Supercritical thermal power plant in Khandwa in Madhya Pradesh, said media reports quoting a BHEL press release.

Release said that BHEL and MPPGCL would establish the joint venture with initial equity equally subscribed by both the partners.

Subsequently, the equity would be diluted so that the stake of both BHEL and MPPGCL is reduced to 26 per cent each and the balance equity of 48 per cant is subscribed to by financial institutions / banks and other partners, said release.

Release said that the joint venture would place the order for setting up of the power project on BHEL on a nominated basis.

The first unit of the coal-based power plant would come up within 48 months of the order being placed on BHEL while the second unit would get operational within 54 months, the release said.

Supercritical technology ensures lower coal consumption, lower emission, eco-friendly and efficient power generation. The project also qualifies for carbon credits under Clean Development Mechanism (CDM), the release noted.

(Based on internet reports)
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