L&T bags Rs 6,900-cr order

Mumbai, Nov. 3 L&T has bagged a Rs 6,897-crore EPC (engineering, procurement and construction) contract from the Maharashtra State Power Generation Co (Mahagenco) for three supercritical boiler turbine generator units of 660 MW each.

The plant is being commissioned at Koradi, 20 km from Nagpur, and will add nearly 50 million units to the national grid daily.

L&T said the advanced supercritical thermal sets would ensure higher plant efficiency and lower greenhouse gas emission.
Deal profile

The order includes design, engineering, manufacture, supply, erection and commissioning of supercritical boilers, steam turbine generators, balance-of-plant equipment and services such as transformers, plant electrical, controls and instrumentation system and civil work. The project is scheduled for completion in 48 months.

L&T said its EPC capabilities extend to building single units of up to 1,000 MW for supercritical coal-based power projects. L&T Power harnessed together its expertise in the thermal power segment.

Mr Ravi Uppal, CEO and MD, L&T Power, said the turbines and boilers would be made in-house for the first time at the Hazira facility. The challenge was to complete the project in time and ensure the highest quality standard.

The Mahagenco order follows the recent Rs 4,000-crore contract from Jaypee Industries for two supercritical units of 660 MW each.
Funding

Mr Subrat Ratho, Managing Director, Mahagenco, and Maharashtra’s Energy Secretary, said 20 per cent of the project cost would come from the State Government in the form of equity and the balance as debt from Power Finance Corporation. In case of a shortfall in the funding exercise, the State utility will look for other avenues, he added.

The Maharashtra State Electricity Transmission Company plans to build a Rs 2,000 crore power transmission corridor connecting Koradi and Aurangabad with 765 kV lines to evacuate the 1,980 MW of power generated.

Tenders for the project are expected to be invited by early 2010. The total network will be of 900 circuit km.

The project will be structured on a public-private partnership model. It will be similar to the Western Region System Strengthening Scheme, being set up by Power Grid Corporation of India.
http://www.thehindubusinessline.com/2009/11/04/stories/2009110452350100....