Jhajjar Power Limited

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In July 2008, the concession awarder Haryana Power Generation Corporation Limited (HPGL) signed a 25 year MoU with China Light & power Company Limited (CLP) for development of a 1320 MW coal-fired thermal power plant in the state of Haryana. The facility is a 2x660MW coal-based power plant at Jhajjar in Haryana. The plant will utilize a highly efficient supercritical design which consumes less coal to generate the same amount of electricity and other advanced emission control equipment. The plant is constructed in line with China Light & Power Co Ltd (CLP)'s commitment to environmental responsibility. CLP established Jhajjar Power Limited (JPL), a special purpose vehicle, to implement the project. In Mar 2008, CLP Group was the lowest-priced bidder for the project compared to other two bidders, Lanco and Torrent Power. The State of Haryana will off take 90% of power output at a price of Rs2.996 ($0.066) per kWh for 25 years and the remaining 10% will be supplied to Delhi.Shandong Electric Power Corp is the supplier of the BTG package. Dongfang Turbine is to supply the main plant equipment, like turbines, and generators. The project achieved its financial closure on 17 September 2009. The project was expected to cost approximately USD 1503.6 million (INR 72790 @48.41 INR/USD)with a debt equity ratio of 72:28. JPL financed this project through an equity contribution of USD 427.6 million (INR 20700 million @ 48.41 INR/USD) and a loan of USD 1076 million. The debt is split into a USD701.9 mn (INR 33984.9mn @48.41 INR/USD) 15-year term loan, a USD 261.9 mn (INR12680mn @48.41 INR/USD) 15-year L/C facility and a $112m 15-year ECB term loan. The project is being funded with a 15 year term loan by a group of banks led by IDBI. Construction is divided into two 660MW units and the commissioning of the first unit is expected in December 2011 and the second unit in April 2012. All data updated based on financial closure in Sep 2009 from Projectware Dealogic.