Govt approves Rs 40k-cr power equipment bulk order

NEW DELHI: The government on Thursday approved a bulk order for power equipment, envisaging an investment of Rs 40,000 crore, for the upcoming thermal power plants of NTPC and Damodar Valley Corporation, a move that will help overcome power shortage in the country.

"The Cabinet Committee on Infrastructure approved the proposals for induction of supercritical technology through bulk ordering for 11 units of 660 MW each by NTPC and DVC," Urban Development Minister S Jaipal Reddy told reporters.

Following the government's approval, power producer NTPC would float tenders for procuring the equipment for these 11 units, envisaging an investment of about Rs 40,000 crore, within 45 days.

"The most important condition of this approval is the development of phased indigenous manufacturing of supercritical equipment in the country," Reddy said.

There is a necessary pre-condition of domestic manufacturing base in order to bid for the bulk order.

Out of these 11 units, three are for NTPC's joint venture with the Bihar State Electricity Board for super thermal power plant at Nabi Nagar in Bihar.