Mundra UMPP likely to beat commissioning deadline

In view of Tata Power`s conspicuous enthusiasm towards the development of its grand Mundra ultra mega power project (UMPP), it is, at least for now, anticipated that the 4,000 MW project, located in the Kutch district in Gujarat, will be completed ahead of time. This assessment was confirmed by the CEA, which expects the first 800 MW unit of the UMPP to be commissioned in June 2011, against the revised deadline of September 2011. Subsequently, other units are likely to follow at intervals of five months, each, implying that the project would be fully commissioned well before the already-advanced schedule of March 2013. The UMPP was, originally, programmed to be commissioned in August 2014, with the first unit commissioning in August 2012.

 Significantly, Coastal Gujarat Power Limited (CGPL), the company implementing the project and a wholly owned subsidiary of Tata Power, has already acquired 3,140.33 acres of land, out of the total requirement of 3,224.6 acres. Moreover, the subsidiary has obtained financial closure for the project, as well as clearance from the Ministry of Environment and Forests for use of 321.2 acres of forestland. Meanwhile, the transmission network for the evacuation of power to be generated from the project is being developed by the central transmission utility, Power Grid Corporation of India Limited (PGCIL), in synchronization with the UMPP. 

 The imported coal-based project entails an investment of Rs 17,000 crore, and is being funded through a debt-equity ratio of 75:25. Foreign exchange loans worth Rs 5,400 crore are being provided by Korean Exim, Korean Insurance and Asian Development Bank, while another Rs 5,100 crore worth of domestic debt would be provided through a consortium of banks led by State Bank of India (SBI). Of the 4,000 MW power, to be generated at the plant, the home state, Gujarat will have the highest share, 1,900 MW, followed by Maharashtra (800 MW) and Punjab (500 MW), while Rajasthan and Haryana will get 400 MW, each. Toshiba Corporation of Japan is supplying the turbine generators for the five supercritical generating units, while the Korean-firm, Doosan Heavy Industries Construction Company has bagged the contract for the supply of boilers.