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OEM Update

NTPC moots Railways’ plan for captive power projects

July 31, 2009 11:00 am

NTPC moots Railways’ plan for captive power projects
 
The Indian Railways has approached NTPC Ltd to jointly set up power projects on 700 acres of surplus land it owns and use the electricity produced to run trains, etc. An official from NTPC confirmed, “Yes, the Railways has approached us to set up captive power projects on its surplus land. Talks are at a preliminary stage.”
 
The state-owned NTPC is in a 74:26 joint venture with the Railways to construct 1,OOO mw project at Nabinagar in Bihar.
 
However, railway officials declined to comment, citing the ongoing budget preparations. The railway budget will be presented in Parliament on July 3. Buying from state electricity boards is costlier as commercial subscribers such as the Railways pay more to make up for power supplied at subsidized rates or for free such as for use at farms.

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