POWER Notebook: New 1,600-MW Coal Plant in India; Low-Price Solar Deal in Idaho
Financing has reportedly been secured for a 1,600-MW coal-fired power plant in India’s eastern state of Jharkhand. Qatar’s Gulf Times newspaper reported April 6 that Power Finance Corp., a state-run lender in India, and its subsidiary REC approved a $ 1.5 billion loan for the project. The report said the new plant would be funded through loans and equity, with Power Finance and REC covering the entire cost of the project, which Bloomberg estimated at just more than $ 2.1 billion.
The plant is being designed to sell power to Bangladesh through a power purchase agreement with the Bangladesh Power Development Board (BPDB). Adani Power Limited, part of India’s Adani Group, one of the world’s largest coal-mining companies, is building the plant. People familiar with the project reportedly said the plant is eligible for tax breaks, as India’s commerce ministry has designated the region as a special economic zone, and the plant as an export industrial facility. BPDB said Bangladesh currently gets about 56% of its power generation from natural gas, with oil and diesel providing most of the rest.…