Reliance Power to fire first unit of Sasan power plant this week
Reliance Power will fire the first unit of its giant 4,000 mw Sasan plant this week, propelling the Anil Ambani-promoted firm to the big league with the world’s largest mining-cum-electricity project that promises to change the economics of state utilities with power at rock-bottom prices.
Electricity from the Sasan ultra mega power project (UMPP) at Madhya Pradesh will be sold at 1.19 per unit, which is arguably the lowest in India and one-fifth of the average price at which Uttar Pradesh plans to procure 6,000 mw on a long-term basis. Yet, it is expected to add significantly to the topline andbottomline of Reliance Power.
“This is the largest integrated power project in the world. The 4,000 mw power project has mines of 20 million tonnes. Effectively we have implemented two projects, not one. Size and backwards integration — these are the two mantras we have. This qualifies for both. Though we commissioned number of projects, this is the first large project, in lines with Dhirubhai Ambani’s mantra of large size and backwards integration,” Chief Executive JP Chalasani told ET.