Engineering firm Larsen and Toubro (L&T) on Friday said it has floated a power generation arm called L&T Power Development and would invest Rs 20,000 crore in the new company. “The overall investment in the company would be Rs 20,000 crore. L&T would invest Rs 5,000 crore and the rest would come through debt,” L&T chairman and managing director A M Naik told reporters here. The new firm would generate 5,000 mw of power in the next five years. In November, L&T entered into a joint venture agreement with Japan’s Mitsubishi Heavy Industries for setting up a manufacturing unit in India for super-critical steam turbine and generator facility. The JV would be investing about Rs 880 crore and would have a product configuration catering to plant capacities ranging between 500 mw and 1,000 mw. The engineering major also has a JV with Japan’s Toshiba to manufacture power plant equipment in India.
