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IL&FS Cuddalore power project delayed

Wednesday, 20 Nov 2013
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IL&FS Cuddalore thermal power project in Tamil Nadu has been delayed by a year and a half due to execution issues.


The 3,000 MW thermal power project is being developed in phases, with Phase-I comprising 2 x 600 MW units and Phase-II comprising the remaining 2,400 MW.


Phase-I of the project was supposed to have come up by now but due to delays in execution it has been pushed to early 2015. The two units of Phase-I are now proposed to come up by December 2014 and February 2015, respectively.


The initial cost of Phase-I was supposed to be about Rs 6,300 crore which has now escalated to about Rs 9,500 crore.


The Cuddalore thermal power project faced delays primarily on account of suspension of site works because of the order by National Green Tribunal in June 2012.


As per the order, the scope of the project was changed and additional equipment such as a flue gas desulphurisation unit had to be installed, which resulted in the extension of the overall project time.


The thermal power project is being implemented by IL&FS's power arm in Tamil Nadu, IL&FS Tamil Nadu Power, on EPC basis.

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