Genco should bear expense if it wants Ramagundam power plant contract: Mallu Bhatti Vikramarka
The Deputy Chief Minister said the government did not mind handing over the construction work to Genco, but they should be in the position to take up the project on their own.
Hyderabad: Deputy Chief Minister and Energy Minister Mallu Bhatti Vikramarka said the State government was ready to hand over the construction of the proposed 800 megawatt supercritical thermal power station in place of the Ramagundam Thermal Station-B to TGGenco if it was ready to bear the expenses.
Responding to a request made by the Telangana State Power Employees Joint Action Committee (TGPEJAC) to allot the work of the proposed power plant to Genco on Wednesday, the Deputy Chief Minister said the government did not mind handing over the construction work to Genco, but they should be in the position to take up the project on their own.
The State government had recently announced that the construction work of the 800 MW plant at Ramagundam would be handed over to Singareni Collieries Company Limited (SCCL). The JAC leaders explained to the Deputy Chief Minister that by constructing the proposed power station through Genco, there would be more development in the area and about 2500 job opportunities would be created. “By strengthening the public sector organization, employment opportunities for the people will increase and people will get electricity at a low price,” they said.
On the matter of funds for the construction of the power plant, the union leaders said Debt:Equity ratio for the construction of the project would be in the 80:20 ratio and equity of Genco would be used to take up the project. Apart from this the Genco had to receive about Rs. 9,500 crore from power utilities for supplying electricity, which could be used to construct the plant, they said.
Besides, the TGGenco had to receive Rs. 2,478 crore from APGenco, Rs. 914 crore from APTransco and Rs. 3,392 crore from Andhra Pradesh power companies in relation to pension trust of electricity employees, they said.
