REL plans Rs 60,000-cr investment

Reliance Energy Ltd plans to invest Rs 60,000 crore (Rs 600 billion) over the next five years to add 15,000 MW of power generation capacity, company chairman Anil Ambani said in  Mumbai on Tuesday.

"REL is set to grow at an explosive pace with a focus on large-scale generation projects using coal, gas, hydro and other renewable fuels," Ambani told shareholders at the company's annual general meeting in Mumbai on Tuesday.

The company would bid for all ultra-mega power projects and target to bag at least two of these projects with an investment outlay of nearly Rs 40,000 crore (Rs 400 billion).

The government has proposed the setting up of 4,000 MW UMPPs and would invite tariff-based bids for a total capacity of 36,000 MW with an investment outlay of Rs 1,50,000 crore (Rs 1,500 billion).

"REL had participated in both the projects -- Sasan in Madhya Pradesh and Mundra in Gujarat --

last year. Two more UMPPs are expected to be put to competitive bidding later this year. These are the Krishnapatnam project in Andhra Pradesh and the Tilaiya project in Jharkhand," Ambani said.

Besides, the 4,000 MW power plant at Shahpur in Maharashtra is at an advanced stage of development and is estimated to cost Rs 15,000 crore (Rs 150 billion), comprising a 2,800 MW gas- based project and a 1,200 MW imported coal based project.

REL has also been selected by Maharashtra Industrial Development Coropration through competitive bidding to set up a 300 MW project at Butibori near Nagpur.

The company is looking at expanding Dahanu power project near Mumbai by 500 MW. The company, one of the power distribution firms in Mumbai suburbs, is hopeful of getting environment clearance for the expansion shortly, Ambani said.