NTPC to form shell cos for mega projects

CHENNAI, May 17: In a novel experiment, the National Thermal Power Corporation NTPC has been asked by the Centre to incorporate 20 quot;shellquot; companies to promote a mega power project each in the private sector. These companies would conceive a new project, get all statutory approvals and offer the quot;readymade project planquot; to independent power producers IPPs, who could start execution directly, Union Power Minister R Kumaramangalam said on Sunday.

The shell company itself would be transferred to the IPP as part of the project plan for a consideration to NTPC. For starters, a three-phase 10,000 mw plant was being planned at Irma in Orissa and NTPC had shortlisted three foreign firms, for awarding the project contract 8212; Chinese Power Investment Corporation, Consolidated Electric Power of Asia and Broken Hills of Australia.