December 02, 2008

DVC to increase installed capacity to 11,000 MW by 2012

IANS reported that Damodar Valley Corporation will increase its installed capacity to 11,000 MW from the current 2,400 MW by 2012.

Mr Jairam Ramesh union minister of state for power said that "DVC is to achieve a remarkable growth during the next 4 years with its installed capacity reaching 11,000 MW from the current 2,400 MW by 2012. Out of this total 11,000 MW capacity, 99% would be coal based." He added that 250 MW Mejhia expansion unit of DVC would start functioning from May 2008 and two more expansion units of 250 MW each would be commissioned at Chandrapura in Jharkhand in 2008.

Mr Ramesh said that DVC would require a total investment of INR 400 billion in the next 4 years and for that it would have to borrow capital from the Power Finance Corporation, Rural Electrification Corp and commercial banks. He added that "DVC is also in a process to set up a wholly owned subsidiary so that it can go to public and raise resources. An agency has been appointed to undertake necessary study in this regard."

Mr Ramesh said that DVC would set up a world class research and development centre with an investment of INR 1 billion at Rajarhat Township near Kolkata. He added that "It will be set up in collaboration with Indian Institute of Technology Kharagpur. The centre will start its activities from May 2008 and would be run at a rented place but later will be shifted to DVC’s own premises. A piece of land has already been acquired for the purpose."