The Indian government will invite tenders for a 2000 MWe coal-based power plant for the western state of Gujarat. The project is to be established as a private sector scheme and global tenders will be invited, according to Gujarat’s state economic adviser. The scheme is one of three 2000 MWe projects to be established under federal government plans. The other two will be in Andhra Pradesh and Tamil Nadu.

The Gujarat plant will be built near the port of Pipavav in the south of the state. The state government will take an equity stake in the power plant, after the developer has been selected by the federal government.

Power will be sold to the state’s Power Trading Corp for distribution in Gujarat, Maharashtra, Rajasthan and Madhya Pradesh. Cost of the project is put at around $1.88 billion.

In a separate move, Unocal Bharat Ltd signed an agreement with the Gujarat Industrial Investment Corp to establish a 1000 MWe power plant in Gujarat. The plant will burn liquefied natural gas. It will cost $1.3 billion and will be built at Maroli, a coastal village 120 km from Bombay.

Gujarat is planning to double its installed generating capacity, from 7721 MWe to 15 000 MWe by 2003.