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BGR Energy opts out of NTPC contract

Em News Bureau ,  Tuesday, April 23, 2013, 12:20 Hrs  [IST]

BGR Energy has reportedly pulled out of a contract to supply supercritical turbine-generator sets to NTPC’s 2x800-mw Darlipali coal-fired power project in Orissa. BGR was selected in late 2011 as the supplier for TG sets while BHEL landed the mandate for supplying generators for this mega project taking shape in Sundergarh district.

BGR Energy has maintained that with little physical progress on the project, it might be difficult for BGR to supply equipment at the quoted value. The exact value of BGR’s contract is not known. A BGR Energy spokesperson was quoted saying: “We need to review the cost of the contract if NTPC is going ahead with it.”

On its part, NTPC has cited land acquisition-related problems as reasons behind the slow progress. A senior NTPC official reportedly indicated that there would be fresh bids for the turbine-generator package.

In late 2010, NTPC had sought the support of the Odisha government to help in the land acquisition. There are reports that the Gram Sabha Panchayat of the Daripali village was standing in the way of the land acquisition.

The project is seeing good progress on the other fronts, however. All site specific studies, including topographical surveys, geo-tech surveys, seismic, and geological mapping studies have been concluded. Apart from that, EIA studies have also been completed.

NOC from Airport Authority of India and defence clearance for the project have been received. Suitable arrangements for fuel and water have been made. While coal requirement will be met from Dulanga and Pakri-Barwadh captive blocks of NTPC, the in-principle commitment for 160 cusecs of water from Odisha government is in place.
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