BHEL plans to set up two power plants of Rs 3000 crore in Russia.

State-run power equipment maker BHEL plans to expand its global footprint and is looking at building two thermal power plants with a total investment of Rs. 3,000 crore in Russia. The move is aimed at de-risking company’s domestic operations that has been hit by shrinking margins and a slowdown in new orders.

Officials of the energy ministries of India and Russia have been in discussions to strike a deal on setting up the power projects. It is proposed that BHEL take up the construction of two 240 mw units of a power plant in Ulan Ude, the capital of the Russian internal republic of Buryatia, as part of setting of a debt India owes to Russia.

Sources said that a formal agreement is expected in December, when Russian president Vladmir Putin is expected in New Delhi for bilateral talks. Talks about the project have got delayed due to fund constraint and sanctions on Russia over the crisis in Ukraine.

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