In a written reply tabled on the floor during the ongoing monsoon session, the power minister said the formalities to sign PPA with Ratnagiri Gas and Power Project Limited are in progress. This pact is likely to help Goa to meet the increasing power requirement which currently varies from 280 MW to 440 MW.
The Maharashtra government will lend Rs 550 crore (Rs 5.5 billion) to Ratnagiri Gas & Power, earlier called Dabhol Power Company
The special purpose vehicle floated by GAIL(India) Ltd and National Thermal Power Corporation to revive the 2,184 MW Dabhol power plant has been named 'Ratnagiri Gas and Power Pvt Ltd'.
RGPPL has signed a power purchase agreement with the government of Daman and Diu for selling about 98 Mw of power from July.
The proposed expansion of the Dabhol power project under Ratnagiri Gas & Power Pvt Ltd (RGPPL) by 2,100 Mw from the present capacity of 1,940 Mw has been stalled for want of assured gas supply from the KG-D6 gas field, operated by Reliance Industries Ltd, and adequate number of power procuring states.
Reliance Industries has inked deals to supply gas from its eastern offshore KG-D6 fields to most power sector consumers, including Essar Power and an Anil Ambani Group firm.
In line with the target to restart Dabhol power plant next year, Ratnagiri Gas and Power Pvt Ltd will soon begin the process for signing a power urchase Agreement with Maharashtra with an offer to sell power at around Rs 2.70 per unit.
Dabhol power plant is a lesson on what to avoid while setting up large infrastructure projects.
Ratnagiri Gas & Power did some local development under its corporate social responsibility programme.
Ratnagiri Gas will be an equal JV between NTPC and GAIL if MSEB which has been offered a small stake does not pick up equity
The project, with total generation capacity of 1,967 Mw, has been shut since Thursday, owing to shortage of gas.
The Dabhol power plant has seen power generation plunge in recent days on account of dwindling gas supplies.
The Central Electricity Regulatory Commission, the nation's Power regulator, has allowed Ratnagiri Gas and Power Private Ltd, the new owner of Dabhol power project, to sell electricity to Maharashtra government.
MahaVitaran, which draws 95 per cent of the power from the project, has started drawing power at Rs 4 per unit.
ICICI Bank, IDBI Bank, SBI and Canara Bank collectively hold 18.12 per cent equity in RGPPL, which operates the plant.
The project is currently generating 240 MW against its total capacity of 1,967 MW.
Ratnagiri Gas and Power, firm that now runs the Dabhol plant, was allocated 7.6 mmscmd of KG-D6 gas.
The agreement guarantees energy availability for GE's power generation equipment, improving the plant's production, and supply and repairs of spare parts. RGPPL, which owns the gas-based plant, was incorporated in 2005 to revive generation at the facility which had been beset by problems like equipment failure and a financial crunch.
The turnaround has been possible due to availability of domestic gas on priority.
Dredging of the sea-channel leading to the Dabhol terminal is likely to be completed by end of 2011 but the construction of a breakwater that will guard ships against high tides, was not likely before 2013-14.
Jeffrey R Immelt, global chairman of General Electric Company was in New Delhi on Thursday as part of his three-day visit to India
The government had this month more than doubled RGPPL's allocation from KG-D6 to 5.67 million standard cubic meters per day that will help generate about 1,000 MW of electricity.
The beleaguered Dabhol power plant will from October 1 start buying natural gas from Reliance Industries to cut electricity generation cost at the nation's largest gas-fired unit.
The government has asked Reliance Industries to supply natural gas from the company's eastern offshore D6 fields to the beleaguered Dabhol power plant, a segment that gets top preference for gas allocation along with fertiliser units.
the terminal will not be used to run the Dabhol power plant and would be supplied entirely to other domestic companies
This was decided at a meeting between State Energy Minister Dilip Walse-Patil and executives of General Electric, which had supplied power equipment to the erstwhile Dabhol Power Company. During the meeting, GE executives assured the minister that by the end of this month, the Block-I, currently lying defunct, would start generating around 600 Mw.
Dabhol is part of Ratnagiri Gas and Power Pvt Ltd.
The company has four lenders -- State Bank of India, IDBI, ICICI and Canara Bank. According to the Reserve Bank of India norms, these loans would be declared as NPAs if the project is not financially restructured by March 31, 2009. The restructuring exercise includes a 50 per cent hike in the tariff for sale of power from the project, to be allowed by the Central Electricity Regulatory Commission. The project is expected to become viable after this.
The Maharashtra government has offered some respite for the troubled Dabhol Power Project by agreeing to provide a guarantee for a Rs 300 crore
The ad hoc exemption was given to Ratnagiri Gas and Power Private Ltd to import as well as re-import components, parts and materials required for revival of its Power block I under 'Adhoc Exemption Order 24/2007' issued on May 5, 2007. The finance ministry has not accepted the request of power ministry for considering extension of ad hoc exemption.
This supply is likely to start in the next few weeks. A proposal to hive off the terminal was turned down by the government last year after it was opposed by NTPC Ltd and Gail, which hold 28 per cent each in the project. The terminal has an LNG regassification capacity of five million tonnes per annum. It will, however, be fully operational only after the completion of the breakwater facilities in 2011.
"There are eight companies (who have put in expression of interest)... RNRL is one of them," said A K Ahuja, managing director, Ratnagiri Gas and Power Pvt Ltd, the company that operates the nation's biggest gas-fired power plant and the adjacent LNG import facility. Others in the fray include state power utility NTPC and GMR. Ahuja said RGPPL will frame the bidding criteria and call for financial bids by next month.
The Dabhol plant in Maharashtra, run by Ratnagiri Gas and Power Pvt Ltd and which was running at a capacity of 1,100-1,200 MW, is now generating 900 MW. The capacity was to be scaled up to 1,880 MW.
The Ratnagiri Gas and Power Project, earlier known as the Dabhol project, will be dedicated to the nation by Prime Minister Manmohan Singh in the coming year, chairman of the Empowered Group of Ministers said.
New recast plan calls for more loan rate cuts and lower equity returns.
Ratnagiri Gas & Power's Dabhol plant will start generating power at full steam and Maharashtra will start getting around 2100MW power by November, Chandan Roy, chairman and managing director, RGPPL, said.
The beleaguered Dabhol power plant in Maharashtra is likely to start generating electricity, using gas as feedstock from the second week of August once promoters sort out payment issues.
Ratnagiri Gas and Power Pvt Ltd, the joint venture of state-run GAIL India and NTPC Ltd which owns the 2,150-MW power plant and the adjoining LNG import terminal, plans an IPO to raise Rs 1,000 crore (Rs 10 billion), company Chairman R K Goel told reporters in New Delhi. The Dabhol plant will be fully operational by next month when the third generating unit is commissioned, he said adding that currently, two units were generating about 1,100 MW electricity.
Maharashtra government has agreed to buy electricity from the Dabhol power project at Rs 5.01 per unit and the plant is likely to be re-started by the middle of next month.
© 2026 Rediff.com - Investor Information - Advertise with us - Disclaimer - Privacy Policy - Sitemap - Feedback - About us - Terms of use - Grievances