The first Unit of ONGC’s Mega Power project in Tripura was formally dedicated to the Nation by the President of India, Pranab Mukherjee at Palatana on 21 June 2013. This Unit 1 of the gas-based plant will generate 363.3 MW. The Unit II of the 726.6 MW power plant is expected to be commercially operational later this year. ONGC realized the audacious dream of transporting such heavy and over-dimensional equipment through the territories of Bangladesh.
The nature has bestowed Tripura with abundant natural gas. This power project by OTPC in a land locked, logistically challenged and difficult terrain is an important feat. It would pave the way for effective utilization of discovered gas. This power plant would meet the requirements of power deficient states in the region and open up avenues for industrialization in Tripura. The power project not only constituted the largest investment in the North East but it was also the largest project in the world registered under the Clean Development Mechanism of the UNFCC. It would earn India over a million of carbon credits.
In line with Government’s efforts to enhance power generation capacity in the country, the government allocated ONGC’s Tripura gas for setting up of this mega power project in the state. This project would ensure abundant availability of the power in the region that in turn will provide significant spur to the growth activities. This single project initiative of ONGC would bring in investments of 10000 crore rupees in the region. ONGC, a leading oil PSU under the Ministry of Petroleum & Natural Gas, has ventured into power generation in north-east to monetize its natural gas resources, which were idle for want of an industrial market. With a total investment of around 3804crore rupees, this is the single-largest investment in north-east India.
ONGC Tripura Power Company (OTPC) has been floated as a joint-venture of ONGC, IL&FS Energy Development Company Ltd. and Tripura Government. The 2x363.3 MW Combined Cycle Gas Turbine based power project has also been registered as a Clean Development Mechanism (CDM) project with United Nations Framework Convention on Climate Change (UNFCCC).
OTPC, a joint venture company of ONGC, IL&FS Energy Development Co. Ltd. and Govt. of Tripura, is setting up a 726.6 MW (2x363.3 MW) capacity Combined Cycle Gas Turbine based Mega Power Project in the state of Tripura with the objective of monetization of gas, which had been lying idle for want of adequate market in the region. The project cost is estimated at 3804crore rupees .
OTPC has signed a Gas Sale and Purchase Agreement (GSPA) with ONGC for supplying 2.65 million metric standard cubic meters per day (MMSCMD) of gas at the fence of the plant site which would be sufficient to meet the requirement of power plant at 85percent plant availability. The GSPA is valid for a base term of 15 years (against the assumed plant life of 25 years) commencing from the commercial supply date. The GSPA also provides for extension of the base term by two additional five years terms. The supply of gas at a firm price with extension of 4 percent every year would ensure a competitive tariff for the period over the long term.
Who: President of India.
When: 21 June 2013.