Two plants to come up in 5 years
Project sites to be
NEW DELHI: The Nuclear Power Corporation of India (NPCIL) and NTPC (NTPC) on Saturday signed a memorandum of understanding (MoU) to form a joint venture company for setting up nuclear power plants to meet growing demand for electricity.
As per the agreement, the two entities will work together in setting up nuclear power plants within the frame-work of the Atomic Energy Act. While NPCIL will hold 51 per cent stake in the joint venture company, NTPC will hold the balance.
The MoU was signed by NPCIL Chairman and Managing Director S. K. Jain and NTPC Chairman and Managing Director R. S. Sharma in Mumbai in the presence of Union Minister of State for Power and Commerce Jairam Ramesh and Atomic Energy Commission Chairman Anil Kakodkar, who is also the Secretary, Department of Atomic Energy.
When contacted, Mr. Ramesh said the joint venture company would set up two nuclear power plants in the next five years, each producing 1,000 MW of power. “With nuclear expertise of NPCIL and NTPC’s experience in power production, a long-term perspective of the synergy is in the offing. This unique initiative will also shape up the country’s plans to achieve the target to produce 20,000 MW of nuclear energy by 2020,” he added.
Mr. Ramesh also informed that the joint venture company would be formed in the next three months. The site for the projects would be identified soon, while around 35 engineers would be selected for the project by this month-end.
“This joint venture is one of the major steps that the Power Ministry has been taking to bring together strengths of all public sector technological and heavy industries like revival of Heavy Engineering Corporation (HEC) with a joint venture with BHEL. This initiative will also give India a strong base for future export of nuclear technology,” Mr. Ramesh added.Corrections and ClarificationsThe first paragraph of a report "NPCIL and NTPC sign agreement"("Business" page, February 15, 2009) was "The Nuclear Power Corporation ofIndia (NPCIL) and NTPC (NTPC) on Saturday signed a memorandum ofunderstanding (MoU) .." NTPC is the National Thermal Power Corporation.