Kolkata, Jul 26 (PTI) The West Bengal government has invited bids for developing and operating the 900 MW Bandu Pumped Storage Project through a public-private partnership (PPP), an official said on Wednesday.
The government is optimistic that a bidder will be selected within the next few months.
The project site is located in the Ajodhya Hill Area of Purulia district and has an estimated cost of Rs 4,700 crore. The project will be developed on a design-build-finance-operate-transfer (DBFOT) basis, with a project life of 40 years.
A senior power department official told PTI that there had been some delay in the completion of the tendering process, but the government is now hopeful of concluding the process shortly.
The last date for submission of bids is August 28 and proposals will be opened on August 31. The government has said that the selection of the winner will be based on the highest royalty per kWh of electricity produced.
Sajjan Jindal-owned JSW Group has expressed interest in a pumped storage power project in the past. The group has a power portfolio through JSW Energy and is widely believed to be a potential bidder for the Bandu project.
The state government currently operates one 900 MW pumped storage power project in Purulia under the control of West Bengal State Electricity Distribution Company Ltd. The Bandu pumped storage project will be the second major initiative by the West Bengal government to boost renewable energy generation in the state.
Pumped storage power is a type of renewable energy that stores electricity by pumping water uphill during periods of low demand and then generating electricity by releasing the water downhill during periods of high demand.
They are a flexible source of electricity that can be used to meet peak demand and provide grid stability. They are also a relatively low-cost source of renewable energy. PTI BSM NN
This report is auto-generated from PTI news service. ThePrint holds no responsibility for its content.