GMR signs agreement with Bihar State Electricity Board to supply power

GMR Kamalanga Energy Limited ( GKEL), a group company of GMR Group has entered ito an agreement with Bihar State Electricity Board (BSEB) under Case I bidding, to supply 260 MW power, the company said in a press release.

GKEL Managing Director K V V Rao said with this agreement, GKEL has tied up 85 per cent of its power sale under tariff policy.

"This makes GKEL eligible to avail mega power status under the new policy. GKEL is the first Power project in the country eligible to receive Mega Power status under the new policy," Rao added.

GKEL, promoted by the GMR Group, is presently executing the 1050 MW (3x350 MW) coal-based thermal power project at Kamalanga in Orissa's Dhenkanal District. Besides BSEB, GKEL has executed power purchase agreements with Grid Corporation of Orissa, Haryana Power Generation Corporation and Power Trading Corporation.

GKEL will start power supply from its first unit in mid-2012. On Tuesday GMR Infrastructure was trading at Rs 18.35 in early trade on the BSE.