Govt to auction Banka, Cheyyur & Bedabahal UMPPs in FY'16

Three ultra mega power projects entailing an investment of Rs 90,000 crore will be bid out in the current fiscal, while two UMPPs in Jharkhand are likely to be auctioned in 2016-17.

"Bidding out three ultra mega power projects (UMPPs)- Cheyyur in Tamil Nadu, Bedabahal in Odisha and Banka in Bihar- in this financial year would attract an investment of approximately Rs 90,000 crore," said the document on Implementation of Budget Announcements 2015-2016.

Deoghar and Tilaiya UMPPs in Jharkhand may be bid out in the next fiscal after due process is met, with an investment of Rs 60,000 crore, it said.

The Power Ministry has identified the five UMPPs for bidding, it said.

In the last Budget speech, Finance Minister Arun Jaitley had said the government proposes to set up five new UMPPs of 4,000 MW each in the plug-and-play mode.

All clearances and linkages will be in place before the projects are awarded by a transparent auction system. This should unlock investments to the extent of Rs one lakh crore, the minister had said.