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KUALA LUMPUR: Mudajaya Group Bhd
’s long-delayed independent power producer (IPP) project in Chhattisgarh, India, is set to supply power to Uttar Pradesh Power Corp Ltd (UPPCL).
In a filing with Bursa Malaysia, the construction and property development group said 26%-owned associate RKM Powergen Pte Ltd, which is undertaking the project, had notified of its intention to supply power generated from two of its four generating units of 360 MW each.
RKM had executed a power purchase agreement with UPPCL for the supply of 350 MW power, and the tariff was approved by Uttar Pradesh Electricity Regulatory Commission (UPERC) on Feb 1.
“Subsequently, UPPCL filed a review petition seeking certain modifications. Upon the passing of orders by UPERC on the review petition, UPPCL will issue the notice of despatch for the commencement of power supply by RKM,” Mudajaya said.
In preparation for the supply of power to UPPCL, Unit 1 was in operation for testing purposes and had been selling power generated to the Indian Energy Exchange, it said.
No firm date for the supply to UPPCL, however, was disclosed.
Mudajaya’s annual reports have said the group was set to benefit from a steady long-term stream of recurring income from the project in India. Unfortunately, the start-up date kept being pushed back year after year.
The plant was scheduled to start commercial operations at the end of 2013, based on its 2012 annual report issued in May 2013. In the 2013 annual report, chairman Datuk Yusli Mohamed Yusoff said the plant was expected to start production in stages in 2014.
According to its 2014 annual report, the commercial operations would begin in stages in 2015. The next annual report, issued in April last year, said Units 1 and 2 of the plant were ready to start the sale of power.
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