Sembcorp-Gayatri venture mulls doubling power generation capacity at Krishnapatnam.

Sembcorp-Gayatri venture recently outlined plans to double the power generation capacity at its thermal power complex located at Krishnpatnam in Nellore district of Andhra Pradesh, entailing an outlay of Rs. 12,000 crore.

Sembcorp Industries, the Singapore-based diversified company and the Hyderabad-based infrastructure company Gayatri Projects Limited, are in the process of completing a 2640 MW thermal power generation complex.

First project of 1320 mw executed by Sembcorp and Gayatri has been completed about 5 months ago and working at full capacity and supplying power to the Southern States. The second unit implemented by NCC-Gayatri and Sembcorp is expected to be commissioned by September 2016.

This will take the installed capacity at the Krishnapatnam power complex to 2640 MW.

Founder-Chairman of Gayatri Projects Limited T Subbarami Reddy today said, 'They are now in the process of considering doubling the power generation capacity, taking it up to 5280 MW. This expansion will entail an outlay of about Rs. 12,000 crore, as most of the infrastructure is already in place, including land, which is a major hurdle to acquire.'

'As against Rs. 20,000 crore (about $3 billion) invested in the 2640 mw phase one, the cost of implementing the proposed expansion will be much lower,' he said.

Addressing a pres conference here today, TV Sandeep Reddy, Managing Director of Gayatri Projects, said, 'The company continues to lay focus completion of second project and on expansion. As the second project gets executed by September this year, we will also complete firming up supplies. Thereafter, we will take up expansion.”

The demand for power is expected to shoot up further in both Andhra Pradesh and Telangana and even in other Southern States. In AP and TS in particular as a number of lift irrigation projects have been planned, he said.


HBL