Srei arm scouts for wind power farms

Srei group-owned thermal power generation and distribution outfit DPSC Ltd on Thursday floated expression of interest (EoI) for acquiring wind power farms.

“DPSC is looking to expand (its) renewable portfolio and (is) interested to acquire existing operational wind farms, capacity in the range of 20-100 mw,” the EoI document said.

DPSC is also looking overseas, particularly in Europe for buying out existing wind farms.

“We are aggressively looking at expanding wind power portfolio through buyouts, both within the country where we plan to add another 100 mw and also outside the country where we are in advance talks to acquire farms in Europe,” said Siddharth Mehta, chief executive officer, DPSC.

Acquisition of an 100 mw wind power asset in Europe would entail an investment of at least Rs 500 crore, he said.

DPSC is primarily a distribution company with a licence area of 618 sq km in the Asansol-Ranigunj industrial belt of West Bengal.

Additionally, it has been running a 12 mw plant near Asansol.

IPCL, the unlisted holding company with which DPSC is being merged, operates windmill capacity of 100 mw in Gujarat and Rajasthan.

DPSC-IPCL is currently setting up two thermal power projects in West Bengal, a 540 mw project in Raghunathpur and another 450 mw plant at Haldia.

“By 2016, we plan to put up the Raghunathpur plant where we are in possession of about 155 acre of land given by the state government and some 150 acre more needs to be acquired. For our Haldia project, civil work has already started and we plan to complete it by early 2015. The financial closure will happen soon,” Mehta said.

In Haldia, DPSC is investing Rs 2,500 crore, while in Raghunathpur, close to Rs 3,000 crore would be invested.

“For coal, we are looking at various options, including importing from Africa,” said Mehta.

These apart, the DPSC-IPCL combine has plans for about Rs 6,000 nw of generation capacity at an aggregate investment of Rs 25,000 crore over the next 4-5 years.

In distribution, the group now plans to go pan-India in the public-private and also franchisee model.

“We have applied for Gaya distribution franchisee licence where bids are likely to be opened shortly. We see similar opportunities like in Dhanbad where tenders are likely to be opened soon,” said Mehta.