Chennai, Nov 26 (UNI) The Tamil Nadu Electricity Board(TNEB) today signed a Joint Venture agreement with Bharat Heavy Electricals Limited (BHEL) for setting up the 1600 MW Thermal Power Project at Udangudi in Tuticorin district at a cost of Rs 8,700 crore.
The JV agreement was signed by TNEB Chairman S Machendranathan and BHEL Chairman K Ravi Kumar in the presence of Chief Minister M Karunandihi at the state Secretariat.
There would be two units of 800 MW each. The first unit would be commissioned by March 2012 and the other six-months later.
The TNEB and the BHEL had signed the MoU for the project to come up in 760 acres, in October last year.
Apart from BHEL and TNEB, some other companies would also invest in the project, for which BHEL would supply the equipment.
The TNEB would implement the project and maintain the power plants, an official release said.
Consultants had been appointed for preparing the Feasibility Report and the Detailed Project Report, which would be finalised soon, it added.
The proposed plants will be coal-fired and the fuel would be imported.
Since coal would be imported through sea, IIT had submitted a report to the state government on setting up a sea base for this purpose.
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