China Light confirms new 2000-MW power station

Vol 18, PW 11 (29 Jan 15) Midstream & Downstream

In January 2013 the former CEO of Hong Kong-based China Light & Power (CLP) Andrew Brandler threatened to quit India because of the lack of gas and coal for the company’s power stations.

Two years later it seems Brandler was just posturing as CLP, the biggest foreign investor in India’s power sector, with installed capacity of 2956-MW, prepares to invest Rs10,000cr ($1.62bn) in a new 2000-MW coal-fired power station next to its 655-MW gas-based Paguthan station in Gujarat. This development was confirmed to PETROWATCH by CLP’s new tough-talking Australian CEO Richard Lancaster, in Gandhinagar on January 11 to attend Vibrant Gujarat.

“Coal supplies won’t be a problem,” Lancaster tells us. “We will bring in imported coal to fire the new plant.

Now we’re busy with a feasibility study.” A senior Gandhinagar source confirms CLP’s plan: “Yes,” he said.

“It is official, CLP is moving ahead with a coal fired plant.” CLP’s transition from gas to coal mirrors plans by Essar and Reliance.

Essar has set up a 500-MW coal-based power station at its 405,000 b/d Vadinar refinery and in 2013 began the $200m conversion of its gas-fired 515-MW Hazira and 500-MW Bhander stations to coal. Reliance plans to replace its 360-MW gas-fired station at Hazira with a 380-MW coal-fired station by 2017.