OTPC places LOA for Power project

New Delhi: ONGC Tripura Power Company (OTPC) has placed a letter of award (LoA) on consortium of Bharat Heavy Electricals Ltd (BHEL) and General Electric (GE) for the generation of 720 MW of power from natural gas produced by ONGC in Tripura.

This 360X2 MW combined cycle gas turbine power plant is being developed by OTPC at Palatana in south Tripura. ONGC has 50 per cent equity stake in OTPC, the balance being held by IL&FS and the Government of Tripura.

In a statement issued here, ONGC said, “This letter of award follows a bidding process where two bidders – Alstom and BHEL-GE combine – had participated. The priced commercials offers of the two bidders were opened on June 12, and evaluated, leading to this award to the L-1 bidder, following the approval of the OTPC Board.

The total value of this contract for the generation project is Rs 2,207 crore. The first unit of 360 MW will be installed in 42 months, followed by the second unit within three more months.

In addition to generation, the project includes transmission of the power, for which an independent special purpose vehicle (SPV) – a joint venture between Power Grid Corporation of India Ltd. (PGCIL), OTPC and North-Eastern Region (NER) beneficiaries – will develop a transmission system, to hook Palatana with the national grid at Bongaigaon. The likely cost of this transmission system is around Rs 1,800 crore.