RPower likely to commission Phase II of Rosa plant months ahead of schedule

Reliance Power Ltd. | Power Generation/Distribution | Power | BSE: 532939 | NSE: RPOWER

24 Jun 2011 Evaluate

Reliance Power (RPower) is working to bring online the 600 MW Phase II of its Rosa Power Project in Uttar Pradesh three months ahead of the targeted date of March 31, 2012. The company will gain with the revenues which will start flowing in this fiscal itself.

All approvals are in place and coal linkage has been guaranteed with the company getting a letter of assurance for provisions from the Central coal mines in Jharkhand, the boiler hydro test was done on February 18.

Accordance with the power purchase agreement inked with the State, Phase I of the plant supplies 600 MW to the Uttar Pradesh Government. The unit tariff is about Rs 1.45 plus cost, which works to Rs 3.50 with fuel cost to the purchaser's account. The UP Government has also committed to lift 300 MW from the Phase II on commissioning of the 300X 2 MW, besides considering drawing the balance power, given the shortage in the State.

The company supply to the State as of April totals 377 million units or 7% of the purchaser's receipt of 5,447 million units. Total capacity dedicated to the State is 10,081 MW, of which, RPower's share is 6%. The Rs 6,000-crore Rosa project, totalling 1,200 MW, is considered the largest private sector investment in Uttar Pradesh by an independent power producer.