Hike in power tariffs inevitable to ensure viable production: Anil Ambani
05 Sep 2012
Power tariffs in India would have to go up to reflect the cost for power geneartion and the health of producing companies, Reliance Power chairman Anil Ambani said yesterday.
"Generating tariffs in India will have to go up, respecting the reality of the prices of coal and gas," Ambani told a shareholders' meeting in Mumbai, referring to the critical power situation in the country.
He also announced Reliance Power's strategic partnerships this year with global leaders like Germany's RWE and China Datang for development of coal mines and power, as also with Shell for a floating LNG terminal at Kakinada in Andhra Pradesh.
According to Ambani Reliance Power had started coal production at its Sasan mine in Madhya Pradesh, six months ahead of schedule.
"Our coal mines at Sasan, the largest coal mines in India, have started production in a record time. This has been the fastest allocation-to-production for any greenfield coal mine in India," he said.
The coal from the mines would be used for power generation at the company's Sasan Ultra Mega Power Plant (UMPP), which is the largest domestic coal-based power project. with a total production capacity of 3,960 MW.