By IANS,
New Delhi : The state-owned Power Grid Corporation of India Limited (PGCIL) has set up a joint venture for evacuation of electricity from the power plant being constructed in Teesta basin in north Sikkim.
PGCIL or Powergrid Wednesday announced that it would be entering into a shareholder’s agreement with Teesta Urja Limited (TUL) to form joint venture firm Teestavalley Power Transmission Limited or TPTL.
“TPTL will develop associated transmission system for evacuation of power from 1200 mega watt (MW) Teesta-III hydro electric project (HEP) being developed in Sikkim by TUL,” said an official press communiqué.
Powergrid and TUL will have 26 percent and 74 percent stake in the joint venture respectively. Powergrid chief managing director (CMD) will be the chairman of the new firm.
V.M. Kaul, an executive director with Powergrid, and Y.N. Apparao, managing director of TUL, signed the agreement for the joint venture.
The Teesta power evacuation project is to be built at an estimated cost of Rs. 7.08 billion, and is scheduled for completion by September 2011.
“This project will be an important part of the common transmission system for evacuation of more than 3000 MW generation from a large number of upcoming HEPs in Sikkim to supply power to the beneficiaries of northern and western regions,” said the statement.
TUL is a consortium of five companies, including AP Gen Co., Larsen & Toubro, IL&FS, Power Trading Company and Athena Power Project.