(EnergyAsia, September 16 2015, Wednesday) — Singapore’s Sembcorp Industries said subsidiary Thermal Powertech Corporation India (TPCIL) has begun fully operating its 1,320MW coal-fired power plant in Nellore in India’s Andhra Pradesh state.
The company recently started up the second 660-megawatt unit of the US$1.5 billion plant in the coastal town of Krishnapatnam to follow through on the launch of the first unit of the same capacity in April.
Sembcorp said the plant is already supplying 500 megawatts of electricity to the Andhra Pradesh and Telangana Power Distribution Companies under a 25-year power purchase agreement. It is looking to sign up new power supply agreements.
Commenting on the start-up of Sembcorp’s first coal-fired power plant investment in India, group president and CEO Tang Kin Fei said it demonstrates the company’s ability to develop and execute large-scale greenfield projects.
“We now look forward to the completion of our second coal-fired power plant in Andhra Pradesh, which is expected in 2016. When fully operational, our two thermal power plants will generate a total of 2,640 megawatts of gross capacity. This will help to meet the increasing power demand in India and particularly the southern states,” he said.
Sembcorp owns a 67.4% stake in TPCIL through its wholly-owned subsidiary, Sembcorp Utilities, while Gayatri Energy Ventures, a wholly-owned subsidiary of India’s Gayatri Projects, owns the remaining 32.6%.
Sembcorp expects to start up another 1,320MW thermal power project in India next year. The Singapore firm is a minority shareholder in the second plant with a 49% stake.
It also owns 64.06% in Sembcorp Green Infra, a renewable energy company in India with more than 700 megawatts of assets in operation and under development.
With these three investments, Sembcorp has over 3,300 megawatts of power capacity in India.