An empowered group of ministers (EGoM) on large power projects has awarded
the 4000 MW Sasan Ultra Mega Power Project (UMPP) to private utility Reliance
Power Ltd (RPL), which submitted a winning bid of Rs1.19616 per KWH.
EGoM, which last week declared the bid of the previous lead developer Lanco-Globleq
consortium invalid, asked Sasan Power Ltd to award RPL the letter of intent (LoI)
for the Rs20,000 crore project in Madhya Pradesh to Reliance Power.
(formerly Reliance Energy) quoted the lowest price at Rs1.19616 per kWh, power
minister Sushil Kumar Shinde said.
RPL quoted a price lower than that of the Lanco-Globleq consortium, NTPC and Jayprakash
Associates, however, did not change the prices.
Power had asked three other bidders, RPL, NTPC and Jayprakash Associates, to submit
fresh bids following disqualification of the Lanco-Globleq consortium.
Singapore-based Lanco-Globeleq consortium had outbid REL with a tariff bid of
Rs1.196 per unit, but the consortium later dissolved after Globeleq Ltd sold its
entire stake in Globeleq Singapore Pte Ltd to Lanco and Jindal Steel and Power
thus moved out of this consortium, and as a result, "Lanco''s bid was considered
void,'''' said V K Garg, chairman of Power Finance Corporation (PFC) which managed
had received 16 bids from companies, including NTPC Ltd., Tata Power Co., Reliance
Energy Ltd., Essar Power Ltd., Larsen & Toubro Ltd., Jindal Steel & Power
Ltd., Sterlite Industries Ltd. and the Adani Group. PFC expects the government
to decide on the Sasan project before 5 August.