NTPC goes for joint venture to set up power exchange

NTPC has formed a joint venture company, National Power Exchange Ltd (NPEX), to set up a power exchange. It will be a third exchange after Power Exchange India Ltd (PXIL) and India Energy Exchange and is expected to be operational within a year, officials said.

The joint venture with NHPC, Power Finance Corporation (PFC) and Tata Consultancy Services (TCS), has already received in-principle approval from the Central Electricity Regulatory Commission (CERC) to begin. NTPC officials said the implementation time may, however, vary depending on terms of CERC approval and other factors.

BSE  |  NSE Price

Click here to visit SME Buzz

Also Read   Related Stories News Now - RBI policy, global cues weigh on Sensex - Dubai budget carrier now flies to Hyderabad - Rupee drops further by 13 paise vs dollar - Strike at Manesar plant enters 13th day - Oil up in Asia as investors seize cheaper crude More

The exchange will have to compete in a market where there are already two players and the total power purchase from the exchanges account for four per cent of the total consumption.

"The power trading market has a strong growth potential. NPEX is backed by rich domain knowledge of the power sector and envisions a strong role in market development and optimal utilisation of generation and transmission resources," NTPC officials said.

Also, the two players have launched weekly products for trading on a week-ahead basis on the exchange platform. The exchanges have proven to be very important market mechanisms with the exchange prices having become important benchmarks for the entire power trading market, said one of the exchange official.

The power price since then has come down from Rs 16-20 per unit to Rs 2.5/3 per unit, now. The long-term objective of exchanges is to drive the Indian power sector towards true competition-based pricing, as against scarcity-based pricing

--
Gopinath S Bangalore
91 99161 29728
http://nrgcs.blogspot.com
http://in.linkedin.com/in/gopimysore

1000 MW power link between India and Sri lanka

PGCIL to set up undersea power line from Lanka

Mansi Taneja / New Delhi June 16, 2011, 0:41 IST

State-run transmission firm Power Grid Corporation of India Ltd (PGCIL) will provide consultancy services to the Sri Lankan government for setting up an undersea power transmission line between the two countries. The project, estimated to cost Rs 2,500-3,000 crore, is to be jointly implemented with the Ceylon Electricity Board, the largest power company of Sri Lanka.

Globally, transnational undersea power transmission lines have been laid till date only between Britain and France, for transmission of 2,000 Mw of electricity.

Click here to visit SME Buzz

Also Read   Related Stories News Now - RBI policy, global cues weigh on Sensex - Rupee down by 7 paise vs dollar in early trade - Strike at Manesar plant enters 13th day - Oil up in Asia as investors seize cheaper crude - Asia stocks slide on Greece discord, US slowdown More

PowerGrid has completed the detailed feasibility report (DFR); a DFR from the Lankan side is awaited. To expedite, PowerGrid will offer technical assistance to the Sri Lankan government in making one, a senior official from the company told Business Standard.
 

POWERFUL TIES # The project is estimated to cost Rs 2,500-3,000 crore # PGCIL will jointly implement it with the Ceylon Electricity Board # Till date, transnational undersea power transmission lines have been laid only between Britain and France # The line is expected to take 1,000 Mw # The power link, including submarine cables over a stretch of 50 km, will be 285-km long

Earlier, the project was expected to be completed by 2013, but has been delayed. The line is expected to take 1,000 Mw. The 285-km power link, including submarine cables over a stretch of 50 km, will enable the two countries to trade surplus power.

PowerGrid offers consultancy services abroad. It has over 100 consultancy clients in the power sector, the services including new transmission lines, substations and project management services.

Last year, it had secured an engineering consultancy assignment for two 400Kv sub-stations and associated overhead transmission lines in Dubai from Dubai Electricity & Water Authority. It is also providing consultancy to neighbouring Bangladesh to set up a 400 Kv HVDC network, besides planning to install transmission lines from the Bangladesh border. Similar opportunities are being explored in Nepal and Bhutan.

--
Gopinath S Bangalore
91 99161 29728
http://nrgcs.blogspot.com
http://in.linkedin.com/in/gopimysore