September 06, 2008

Krishnapattnam UMPP bidding process in advance stage

It is reported that the Indian government would open bids for the proposed ultra mega power projects at Krishnapatnam in Andhra Pradesh and Tilaiya in Jharkhand soon Mr Anil Razdan secretary in ministry of power told reporters that the bidding process for the Krishnapattanam project in Andhra Pradesh is at advanced stage and the bidding process for the fourth one would also be ready soon.

Mr Razdan however said that "We are not in a hurry to invite bids, unless inputs are ready and the local people are fully behind the project. We are reviewing each UMPP and want to see land, water, fuel linkages are available and the project receives environmental clearances."

Mr Razdan said that “We are very conscious and responsive to the sensitivities of local population. We would not like start building a project unless the local population is also fully behind the project. The risk factor of the entrepreneur is mitigated and customers can get minimum tariff.” He added that the government is also ensuring that fuel supply is available for pithead based mega power projects.

Indian government had proposed to put up nine UMPPs having 4,000 MW capacity each over the next 6 to 8 years to reduce the demand supply gap in the country's power scenario. However, some of these proposed sites in Maharashtra and Karnataka had witnessed from local people, forcing the government to look for alternative locations.