Special Correspondent

Two pit-head project sites in Orissa to be shifted

Bids for Cheyyur UMPP in Tamil Nadu

to be invited before March 2010

Krishnapatnam, Tilaiya projects

yet to achieve financial closure

NEW DELHI: Seeking to give a fresh impetus to the fast track power projects, the Union Government will invite bids for the fifth coal-fired Ultra Mega Power Project (UMPP) at Sarguja in Chhattisgarh by the end of this month.

“The Request for Qualification (RFQ) for the Chhattisgarh UMPP with a capacity of over 4,000 MW would be invited at the end of this month and for another such project at Cheyyur in Tamil Nadu before March 2010,” I. C. P. Keshari, Joint Secretary in the Power Ministry, said at a conference organised by Powerline.

The RFQ is a bid to qualify for a project on the basis of technical capabilities. After getting through this first round under the international competitive bidding route, the qualified bidders will submit final financial bids which are called Request for Placement (RFP).


The government has so far allotted four such UMPPs, of which Anil Ambani owned Reliance Power has bagged three — Sasan (Madhya Pradesh), Krishnapatnam (Andhra Pradesh) and Tilaiya (Jharkhand). Tata Power is developing the Mundra UMPP in Gujarat.

While the Sasan and Mundra projects are under development, Reliance Power is yet to attain financial closure for the Krishnapatnam and Tilaiya projects. These ultra mega power projects entail an investment of about Rs. 20,000 crore to be funded at a debt-equity ratio of 70:30. The Union Power Ministry has, meanwhile, shifted sites of two pit-head projects in Orissa to coastal areas in the State because of water availability issues.