BHEL and MPPGCL have set up the JV company with initial equity equally subscribed by both the partners. Subsequently, the equity would be diluted so that the stake of both BHEL and MPPGCL is reduced to 26% each and the balance equity of 48% is subscribed to by financial institutions/ banks and other partners. The order for setting up of the power project would be placed on BHEL by the JV company on a nominated basis.
The first unit of the coal-based power plant would come up within 48 months of the order being placed on BHEL and the second unit will get operational within 54 months. To this end, BHEL will initiate advance action for pre-engineering activities, the company said.
The turbine generator units of 800MW would be manufactured by BHEL at its Haridwar plant, while the supercritical boilers would be manufactured at the company’s Tiruchy plant.
