Kamalanga Thermal Power Plant

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The Kamalanga Thermal Power Plant was a 1050 MW coal based thermal power plant located at Kamalanga in Dhenkanal district of Orissa state. In June 2006, GMR Energy Limited, following direct negotiations, signed a Memorandum of Understanding (MOU) with Government of Orissa (GoO) to set up this plant. In September 2006, GMR Energy Limited signed a Power Purchase Agreement (PPA) with Grid Corporation of Orissa Limited (GRIDCO) for a period of 25 years for sale of 25% of the power generated from this project. It was expected that the remaining 75% of the power from the project would be sold on the spot market. The Project was estimated to cost US$1052.75 million. GMR signed a loan agreement on 27 May 2009 with a consortium of 13 banks, led by IDFC. The consortium of banks includes Andhra Bank, Bank of Baroda, Canara Bank, Central Bank of India, Corporation Bank, IDBI Bank, Indian Bank, IDFC Ltd, Punjab & Sind Bank, SBI, State Bank of Mysore, UCO Bank and United Bank of India. The loan tenure is 16 years. IDFC has also taken a 20 per cent stake in the equity of Rs 1,135 crore in the project. There had been a cost over-run and the revised project cost was INR 65.19bn, funded through a debt of INR 43.19bn and equity of INR22bn. Of this additional debt of INR 9.14bn, INR 8.64bn has been tied up till date (including INR 3.14bn of External Commercial Borrowing (ECB) and INR 5.5bn of Rupee Debt). Financing for US$ 316.2mn (INR 19290mn @61 INR/USD) was closed on 16th June 2014. It included a 3-year 3-month short term loan of US$ 51.5mn, a 13-year 7-months term loan of US$ 90.2mn, and sponsor equity of US$ 174.6mn. IDFC was the lead arranger of the loan. The project was expected to be completed in the first quarter of 2012. The project was expected to be commissioned by end of 2010.