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The bidding dates for 4,000-MW each ultra mega power projects (UMPPs) in Odisha and Tamil Nadu are extended by a fortnight.
The last date for submission of request for qualification (RFQ) for Bhedabahal project in Odisha would be November 25, while for the Cheyyur power plant in Tamil Nadu would be November 28.
Earlier, the last date for RFQ submission was November 11.
RFQ is the first stage of bidding, which is followed by submission of price bids. Each of the mega projects that would cost nearly Rs 24,000 crore are expected to be allotted by February.
Sources told Business Line that the extension of bidding dateline is to attract more competent players.
Till now, companies such as Tata Power, NHPC, NTPC, Sterlite, JSPL and JSW, among others have purchased the bid documents.
Last month, a global road show for the ultra mega power projects was held in Singapore.
“A few Japanese companies have also shown interest,’’ said a senior Power Ministry official.
100% FDI in power generation
India allows 100 per cent foreign direct investment (FDI) in power generation. The Government wants to portray the ultra mega power projects as most technologically advanced and one of the best investment opportunities in the country.
Power Finance Corporation Ltd (PFC), the nodal agency for auctioning of ultra mega projects, has held diplomatic talks with nearly 12 countries — Germany, France, the UK, Turkey, Russia, Saudi Arabia, Denmark, Australia, Israel, Netherlands, Spain and Sweden.
However, India is not offering any special dispensation to foreign players. Successful bidders for the projects would be decided purely on bidding parameters put in place by the Government, the Power Ministry official said.
Odisha, Tamil Nadu projects
While the Odisha project will be based on domestic coal, the Tamil Nadu project would be fired from imported fuel. The Government believes that it is offering investment-friendly parameters for these projects and claims to have cleared the major regulatory hurdles required for the setting up of mega power projects.
In August, the revised Standard Bidding Documents were given the go-ahead by an Empowered Group of Ministers. “The fuel charge is no longer a bid parameter. That takes away most of the variable risks of the project. Moreover, land, water and environment clearances have already been acquired for the project,” the official added.
At present, India has awarded four ultra mega power projects — one to Tata Power and three to Reliance Power. So far, only Tata Power’s project at Mundra in Gujarat is fully operational. The last auctioning round saw about six-seven bids from companies based in China and Singapore.
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