A power purchase agreement between the Singareni Collieries Company Limited (SCCL) and the APCPDCL, envisaging sale of 28.8 million units per day generated from 2x600 MW SCCL thermal power plant proposed at Pegadapalli, Adilabad district was signed in the presence of Chief Minister K Rosaiah at Secretariat on Wednesday.
The Agreement was signed by APCPDCL Chairman and Managing Director MT Krishna Babu and SCCL Chairman and Managing Director S Narsing Rao.
Keeping in view the availability of water and coal from abandoned mines of SCCL, setting up of the pit-head power plant is likely to be economical when compared to far flung power plants.
The land required for the power plant is in the possession of SCCL and preliminary works have commenced in the field.
The total investment proposed for 2x600 MW SCCL thermal power plant is Rs. 5685 crores. Thirty% of the equity will be met from the internal resources of the company and the balance 70% will be sourced from financial institutions as debt.
Boilers, turbines, generators (BTG) will be sourced from BHEL. The units will be commissioned by December, 2013. In the mean time APTRANSCO will be making arrangements for connecting to the grid by laying 160 km length 400 KV HT transmission line from Pegadapally in Adilabad district to Gajwel in Medak District.
Commissioning the power plant in the region will give a fillip to the development of the backward region.
Special Chief Secretary, (Finance) G Sudhir, and Principal Secretary, (Energy) Sutirtha Bhattacharya, TRANSCO CMD Ajay Jain, Directors, CGMs and Chief Engineers from SCCL, APTRANSCO and APDISCOMS were present on this occasion.