DVC to invest Rs 19,000 cr in power projects

Kolkata, June 10 (UNI) The Damodar Valley Corporation (DVC) will invest around Rs 19,000 crore in power generation, transmission and distribution and joint venture projects during the 11th plan period.

DVC chairman A K Burman told reporters that Rs 18,000 crore would be invested for extension units and greenfield projects having a capacity of 4,500 MW and the rest for transmission and distribution and joint venture projects.

The capacity addition includes extension of three units at Bokaro 'A' and Mejia 'B' having capability of generating 1,500 MW in the next four years and greenfield project of six units at Kodarma, Durgapur and Raghunathpur having capability of generating 3,000 MW within the 11th plan period.

The expansion would be funded through around 20-30 per cent of internal accruals and rest through loans. DVC has already initiated talks with Power Finance Corporation (PFC) for the loan, Mr Burman said.

He said four new units at Mejia and Chandrapura (1000 MW) would be ready in a year's time.

DVC would also invest around Rs 700 crore in creating transmission and distribution (T&D) network in Jharkhand and West Bengal, the chairman said.

DVC's joint venture projects Maithon Power Limited (1,000 MW) and BPSCL (500 MW) would be ready within the 11th plan. The total investments in the projects would be to the tune of Rs 600 crore within the 11th plan, the executive said.

DVC has also been engaged to execute the rural electrification projects of 800 villages in East Midnapore (West Bengal) by 2007 and 10,000 villages in eight districts of Jharkhand in the next three years.

DVC also intends to develop tourism at Maithon, Panchet, Tilaiya and Hazaribagh through public-private-partnership route and has engaged a consultant to develop a master plan for the project, Burman said.

Burman said DVC has been alloted three coal blocks in West Bengal and one block in Jharkhand. DVC has entered into a joint venture with EMTA for mining in the coal blocks from 2007.

The company reported a profit after tax of Rs 1066 crore in 2005-06 as compared to Rs 632 crore in the previous year. The total income grew by 47 per cent to Rs 4676 crore in 05-06 from Rs 3179 crore in the last year.

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