Sugen 1,100MW CCGT, Akhakhol, Gujarat, India

The 1,100MW Sugen Combined-Cycle power plant at Akhakhol in Gujarat is nearing completion. Siemens AG is supplying three single-shaft modules with gas turbines, steam turbines, generators, and electrical and I&C systems. The Rs.30,960m (around €500m) plant will be natural-gas-fired. Commissioning is scheduled for the first quarter of 2008.

The Sugen project covers almost 150ha and is close to existing gas supply infrastructure, including LNG terminals and main gas lines. A dedicated 220kV transmission line will take power to Surat, with Ahmedabad and other take-offs connected by two 400kV lines (a double-circuit stretching nearly 250km). Torrent's companies will use 75% of the power generated by the project, and the remaining 25% will be sold to Power Trading Corporation (PTC) for interstate and other sales.

THREE BLOCKS OF 367MW

Torrent awarded the turnkey EPC (Engineering, Procurement and Construction) contract to Siemens. The project will use a Siemens' Combined-Cycle (SCC) plant, operating in three blocks of 367MW each. Natural draft cooling tower, DM plant and a 220/400kV switchyard also form a part of the project. The entire enabling infrastructure, including intake well, water pipelines, reservoir, approach roads and boundary walls, has already been developed.

In a combined-cycle power plant, the hot exhaust gas of a gas or oil-fired gas turbine generates steam in a separate water/steam cycle. The hot steam is expanded in a steam turbine providing power to drive a generator. In a multi-shaft arrangement, the gas turbine and the steam turbine are each connected to a generator. In a single-shaft arrangement, gas turbine and steam turbine drive the same generator.

This is Siemens' second turnkey project for the Torrent Group, following the 655MW combined-cycle plant at Paguthan, also in Gujarat. The Torrent Group is based in Ahmedabad, and diversified into power by acquiring The Ahmedabad Electricity Company and Surat Electricity Company Ltd – two of India's oldest utilities.

SUGEN IS WELL SITED

Sugen is within 2.5km of both the Tapi River (which will meet the project's water requirements) and the National Highway. The main market, Torrent Power SEC, should take around 50% of the power generated and is within 30km of the site.

Hazira LNG terminal is 50km from the plant, and Dahej LNG terminal is 100km. The HBJ pipeline is 12km away, the GSPCL pipeline is 20km and the proposed Dahej-Uran pipeline is within 19km. The nearest airport is at Surat, about 30km from the site.

No Objection Certificates (NOCs) were received from Ministry of Environment and Forests, and Gujarat Pollution Control Board received. Approval was received for 15 million gallons per day of water (68 million litres per day) from Tapi River. National and International parties have been requested for offers to supply 53Tbtu of natural gas/LNG, equivalent of 4 to 4.5MMSCMD (million standard cubic metres per day).

An environmental management plan (EMP) was formulated to manage impacts, and an Environmental Management Unit (EMU) was created within TPGL. Rain Water Harvesting, ISO 14001 (Environment) and OHSAS 18001 (Safety) compliance are also planned.

70:30 DEBT-EQUITY RATIO

Torrent Power Generation has invested Rs.30,960m in the plant. The debt-equity ratio is 70:30, with ADB (Asian Development Bank) having 10 % equity and DEG Germany 5%. The debts have been arranged by a consortium of investors made up of Infrastructure Development Finance Corporation (IDFC), Industrial Development Bank of India (IDBI), Power Finance Corporation (PFC), Punjab National Bank, UCO Bank and Canara Bank.

Siemens will also invest about Rs.930m in the new venture. Siemens and Torrent have also formed a 50:50 joint venture for operations and maintenance services.

INDIA PLANS 100GW OF NEW POWER PLANTS BY 2012

India has an installed power of around 115GW, but the country still suffers demand shortages and the overall demand is rising. The Indian government therefore plans another 100GW of power plants by 2012.

The Indian Government's Ministry of Power has accorded Mega Power Project status to the project, exempting it from customs duty and import duty.

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