Punjab State Power Corporation Limited (PSPCL) has emerged as the sole bidder to buy the 540 MegaWatt private thermal power plant at Goindwal Sahib, thus paving the way for the state government to buy the private thermal plant.
The bids for buying this private power plant were opened by the Resolution Professional appointed by the National Company Law Tribunal (NCLT) today, confirmed top officials in PSPCL.
- Goindwal Sahib power plant is located on 1,100 acres and has two units of 270 MW each
- PSPCL authorities say that being a new plant, its power generation efficiency is high
- Due to no proper coal linkage — after the plant’s own captive coal mine block was cancelled in 2014 — the plant ran at maximum of 45 per cent of its capacity till last year
Chief Minister Bhagwant Mann has said that the state government is all set to buy the private thermal plant. “Previous governments sold government properties, but we are buying a private thermal power plant to augment our power generation capacity,” he said.
It is learnt that two of the 12 companies that had initially evinced interest in buying the plant — Vedanta and Jindal Power — were keen on striking the deal. But the original thermal plant operator GvK Power’s ongoing litigation with PSPCL over its total capital expenditure on the plant and in getting reimbursement for the coal used by it to run the two units of the plant proved to be a dampener.
A senior government functionary told The Tribune that the bid submitted by PSPCL would now be examined by the Committee of Creditors (CoC) from 12 banks that had originally financed GvK Power’s plant.
“A 66 per cent vote in favour is needed from members of the CoC to decide on the bid in our favour. The state power utility will then be called by the committee for negotiations within a week to 10 days after evaluation of the bid,” informed a senior officer.
GvK Power – the private company operating the plant- had gone in for corporate insolvency last year. Officials in the state government said that once the state government has taken over the plant, the coal available from the state’s own coal mine at Pachhwara would be used to run the plant. “It will also put to end all litigation with the thermal plant which is now running to its optimum capacity,” said a senior officer.
Source : Tribune India