New Delhi: Tata Power expects to commission the 126-MW Dagacchu hydel project, which is being developed along with the Bhutan government, by next year.
The private power producer has 26 percent in the nearly USD 200 million-project, while 74 percent is held by the Bhutan government. Electricity generated from the plant would be sold to India.
The Dagacchu project is expected to be commissioned by 2013, Tata Power said in a recent investor presentation.
Power purchase agreement for the project has been inked with Tata Power Trading, part of Tata group.
Druk Green Power Corp, owned by the Bhutan government, and Tata Power are implementing the joint venture.
Sixty percent of the funding is through debt, while the remaining amount is by way of equity. Manila-headquartered Asian Development Bank (ADB) are among the lenders for the project.
Currently, Tata Power has an installed capacity of 5,191 MW, including 447 MW hydel capacity. Thermal sources account for 4,339 MW.
Meanwhile, Tata Power in the presentation said its equal joint venture with Exxaro Resources is focused on electricity generation projects in South Africa, Botswana and Namibia.
The joint venture is called Cennergi.
"The initial project pipeline will focus on renewable energy projects in South Africa," the presentation said.