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GAIL’s plan for 250MW natural gas-based power plant gets board approval

According to reports, GAIL India, the country’s biggest gas marketer, has received its board’s approval for a foray into natural gas-based power generation. It will set up its first power plant at Uran in Maharashtra with an investment of around Rs 800 crore.

“The plant will have a 250-megawatt (Mw) capacity. We are in the process of signing a power purchase agreement with the state power department. Discussion is also on with PTC India to facilitate power trading,” said a senior company official.

Gradually, power projects of similar capacity would also be set up at Vijaipur in Madhya Pradesh, Auraiya in Uttar Pradesh and Gandhar in Gujarat, he said. GAIL India already has land and manpower, among other infrastructures, at these locations, which also have the company’s LPG plants and gas pipeline.

The four plants would require 2.5 million standard cubic metres of gas a day. Due to limited gas availability from domestic sources, the company will have to depend on imported gas for power generation.

The company has also ventured into renewable energy generation. A 100-Mw wind power project for Karnataka and Tamil Nadu has received the board nod and is due for completion by March next year. It also aims to set up solar power projects by bidding under the National Solar Mission.

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