Tata Power Wins 1,200-MW Project in Vietnam
Tata Power Company Ltd on Friday said it has bagged a 1,200 MW power project in Vietnam. The coal-fired supercritical project would mark the Tata Group firm’s entry into the South-East Asian country.
“Tata Power has been awarded Long Phu 2 project by the Government of Vietnam based on the pre-feasibility studies. The capacity is 1,200 MW as per the Master Plan. Tata Power is pursuing further steps including formalising a memorandum of understanding,” said the company spokesperson.
The project, consisting of two units of 600 MW each, would cost more than Rs 10,000 crore. Generally, power projects are funding in a debt to equity ratio of 70:30. It takes nearly 36-40 months to commission a project after acquiring land and other regulatory permissions. The company did not divulge details on the targets for commissioning the power plant.
Currently, Tata Power is implementing a 126-MW Dagachhu Hydro Project in Bhutan and 134 MW Amakhala Emoyeni wind farm in South Africa. The Vietnam project would be first coal-based project for the private player outside India.
According to industry watchers, Tata Power is looking at overseas market for new projects. This is because its projects at home are facing regulatory hurdles and seeking revision in tariff to prevent revenue loss.