NEW DELHI (commodity Online): The state-run NTPC to setup 500 MW power plant in Sri Lanka in Joint Venture (JV) with Ceylon Electricity Board (CEB).
The plant will be setup at Sampur in Trincomalee and the cost estimated is about Rs 3,150 cr.
The JV was signed between CEB and NTPC on Wednesday and both will have equal partnership (50-50). Sri Lankan government will provide the land on long term lease.
Earlier, NTPC had been in JV with Bangladesh electricity board for setting up two power plants of a combined capacity of 1,320 MW, at an estimated cost of Rs 7,000-8,000 cr.
“The government of India has offered a concessionary line of credit of $200 million to the government of Sri Lanka to fulfill its commitments under the implementation agreement,” an Indian High Commission spokesman was quoted by Business standard.
Power Grid Corporation of India Ltd, is also planning to set up an electricity transmission link of 1,000 MW between India and Sri Lanka.
CEB has operating 24 power plants with a combined capacity of 2,058 MW to distributes electricity to all categories of consumers in Sri Lanka.
