Power equipment manufacturer, Bharat Heavy Electricals Ltd (BHEL) has bagged an order worth over Rs 5,000 crore from Telangana State Power Generation Corporation Ltd (TSGENCO).

This order comprises an EPC (Engineering, Procurement & Construction) order for setting up a 4x270 MW thermal power plant in the state. Earlier, in December 2014, TSGENCO had placed an order with BHEL to set up Telangana’s first Supercritical Thermal Power Plant of 800 MW rating, also on EPC basis at Kothagudem.

The current order envisages setting up a power plant at Manuguru in Khammam district of Telangana. The project is targeted to be commissioned in 24 months on fast track basis with both TSGENCO and BHEL setting up teams to expedite clearances and execution of the project.

TSGENCO has also entered into an MoU (Memorandum of Understanding) with BHEL for construction of new thermal power plants totalling 6,000 MW in the State. All these power plants are expected to commence generation in the next three years to meet the State's increasing demand for power. With the new order, 1880 MW has already been awarded to BHEL.

To overcome the current uncertainty of coal supply, BHEL will use its in-house developed fuel flexible boiler in the proposed power plants. This boiler is capable of firing the entire range, from a 100 per cent Indian to a 100 per cent imported mix of coal. It is anticipated that the use of this boiler will provide security against variation in design coal and the coal actually available during operation, thereby, offering operational flexibility for uninterrupted generation.

The key equipment for the contract will be manufactured at the company’s Trichy, Hyderabad, Haridwar, Bhopal, Ranipet, Bangalore and Jhansi plants, while the company's Power Sector - Western Region will be responsible for civil works and erection/ commissioning of the equipment.