Mumbai: Energy companies Essar Power Ltd and Tata Power Co. Ltd have submitted bids for setting up four different hydroelectric projects in Himachal Pradesh with a total capacity of 1,125MW at an estimated cost of at least Rs8,000 crore.
The state plans to set up four hydro projects in Seli (320MW), Reoli Dugli (420MW), Sach Khas (149MW) and Dugar (236MW), according to a person familiar with the development, but did not want to be named.
Apart from these two, state-run Himachal Pradesh Power Corp. Ltd, L&T Power Development Ltd (a division of Larsen and Toubro Ltd), Madhucon Projects Ltd and Moser Baer India Ltd are the other companies that have bid for all the four projects.
Jindal Steel and Power Ltd, JSW Energy Ltd, Aravali Properties Pvt. Ltd, Bhilwara Energy Ltd, CESC Ltd, Indiabulls Hydro Energy Ltd, Kalpataru Power Transmission Ltd and Patel Engineering Ltd were among companies that have submitted bid for one or two projects.
According to industry estimates, the cost of setting up a 1,000MW hydroelectric plant would be anywhere between Rs5,500 crore and Rs8,000 crore.
While setting up of a 1,000MW of gas-based power will cost Rs3500 crore, coal-based power will cost Rs4,500 crore. The cost of hydroelectric power is purely dependent on the construction of the dam and its height.
“Essar Power has bid for the four power projects in Himachal Pradesh aggregating 1,000MW,” said a company spokesperson, in an email.
“The cost of the project will be estimated only after winning the bid. The selection criterion is based on the quantum of free power supplied to the state. Himachal Pradesh offers good potential for hydroelectric power,” he said.
A Tata Power spokeswoman had no comment to offer. Mint couldn’t immediately contact government officials in Himachal Pradesh.
Early this year, the state invited private participation in setting up the projects.