Kumari Palany & Co

Ennore power plant expansion work - Sensational latest news!

Posted on: 22/Aug/2022 10:33:47 AM
Five years have gone since any physical work was carried out at the 600 MW Ennore Thermal Power Station or ETPS expansion project. Now, the site has been handed over to the BGR Energy Systems or BGRESL and the expansion work will be starting soon.

In June 2022, the ETPS expansion work was handed over to the BGRESL and work has been started on testing of the structures with the help from IITM experts. This was brought out by a source from Tangedco.  As per the sources, the contractor would commence work as soon as the tests get over.

On 13th of July 2022, Tangedco tariffs petition was filed and according to that the site would be handed over to BGRESL after the submission of bank guarantees. Sources from Tangedco have highlighted that their company had submitted a bank guarantee or BG and has taken possession of the site in the month of June 2022.

Mr. S. Neelakanta Pillai, an activist and retired engineer of Tangedco questioned why the contract was not cancelled for delaying the BG submission. In the year 2019, the contract for BGRESL was awarded for executing the bank works on an engineering procurement construction or EPC. After non-payment of BG for 16 months, the contract was cancelled in April 2021.

Normally, once after the cancellation of contact a new tender would be called for but Tangedco reinstated the contract of BGRESL in November 2021. On 9th March 2022, a letter of intent was issued to the company and it had not paid the BG according to the tariff petition. It is worthy to note that the BG must be submitted within one month of issuing of LOI.

 It is known that the ETPS expansion project work has been facing delay after delay. In the month of May 2014, EPC was awarded by Tangedco to LITL or Lanco Infra Tech limited. There were many financial issues and work stopped in August 2017. After Tangedco terminated the contract in April 2018 the ETPS expansion project came to standstill. Mandatory public hearing should be held to get the opinions of the people for getting a new EC as the environmental clearance expired.