State to build 3 gas power projects

State to build 3 gas power projects

Power plants to come up at Belgaum, Davangere and Tumkur by 2013

Banking upon natural gas to be supplied by the Gas Authority of India (GAIL) from Dabhol in Ratnagiri district in Maharashtra to Karnataka, the State government is preparing to set up power projects at Belgaum, Davangere and Tumkur, which fall under the proposed gas pipeline route.

The government had signed an MoU with GAIL to supply gas to Bangalore from Ratnagiri. The company has completed the route survey for an 850-km pipeline and promised to supply the gas in 2012-13. The pipeline will be designed to carry 16 million metric square cubic metres per day (MMSCD) of gas.

Taking advantage of the flow of gas, the government wants to build power projects with 700 MW generating capacity each involving an investment of around Rs 3,300 crore, Additional Chief Secretary to Department of Energy K Jairaj told Deccan Herald. As the money will be invested by private partners under build own operate and transfer (BOOT), the promoters will be given concession for 30 years, he said. 

Land acquisition
The land has been identified adjacent to the pipeline in all the three places and the Karnataka Industrial Area Development Board (KIADB), the nodal agency to facilitate infrastructure to industries, will acquire it. Each project will require around 300 acre of land.

The government will award the project to private companies by the end of this year enabling the investing company to complete it by the end of 2013, he said.
Jairaj, who was here to attend the meeting convened by the Planning Commission to discuss the power situation in Karnataka, said that apart from this, the State was keen to set up one more gas-based power project at Bidadi. The Karnataka Power Corporation Limited (KPCL) is constructing this 1,400 MW power plant with an investment of Rs 3,800 crore. For this project also, GAIL supplied gas will be utilised, Jairaj said.
Besides, KPCL is also planning to build 2100 MW of gas-based power project at Tadadi in Uttara Kannada district and for this KPCL proposes to use imported gas.
DH News Service