Govt invites bids for 14 power transmission projects

New Delhi, Jan 11 (UNI) The government today invited private players for setting up 14 transmission projects requiring an investment of Rs 20,000 crore under tarriff-based competitive bidding route.

Power Finance Corporation (PFC) and Rural Electrification Corporation (REC) have been designated as nodal agencies for the projects. For the purpose, the entities will form eight and six special purpose vehicles respectively.

''The public-private-partnership model has proved to be a great success for finalisation of Sasan and Mundra ultra mega power projects. The 14 transmission projects identified tll now will also be on the lines of the ultra mega power projects,'' Power Minister Sushilkumar Shinde told reporters here.

''Two companies, PFC and REC have been selected keeping in mind the large scale of operations,'' Mr Shinde added.

The process will be further improved and the loopholes, if any, will be fixed, depending on open discussions on qualifying requirements from the prospective bidders, he said.

The next phase for the projects will be inviting Request for Qualification (RFQ) documents from the bidders.

''As we have a target of complete rural electrification by 2009, the projects need to be finished by then,'' the minister said.

The SPVs will initiate work and facilitate tie-up of inputs, linkages and clearances for these projects.

The shell companies will undertake initial and detailed surveys, obtain transmission license, identify sites and pay land compensation prior to awarding the projects to successful bidders.

The power ministry will play the role of a facilitator to coordinate with other ministries, agencies and state governments for ensuring environment clearances.

UNI