India - Talcher Thermal Power Project

Document of The World Bank FOR OFFICIAL USE ONLY Report No. 6402-IN STAFF APPRAISAL REPORT INDIA TALCHER THERMAL POWER PROJECT may 28, 1987 Energy Division South Asia Projects Department This document has a restdicted distrbution and may be used by tecipients only in the p' 5ormance of their officil dutes Its contents may not otherwise be disdosed without Wodd Bank th n  CURRENCY EQUIVALENTS Currency Unit a Rupees (Rs) Rs 1.00 Paise 100 US$1.00 = Rs 13.00 Rs 1.00 - US$0.0769 Rs 1,000,000 US$76,923 MEASURES AND EQUIVALENTS 1 Kilometer (km) - 1,000 meters (m) = 0.6214 miles (mi) 1 Meter (m) - 39.37 inches (in) 1 Cubic Meter (m3) 1.31 cubic yard (cu yd) u 35.35 cubic feet (cu ft) 1 Thousand Cubic Meter (MCM) = 1,000 cubic meters 1 Thousand Cubic Meter (MCM) = 1,000 cubic meter 1 Barrel (Bbl) - 0.159 cubic meter 1 Normal Cubic Meter 3 37.32 Standard Cubic Feet (SCF) of Natural Gas (Nm3) 1 Ton (t) = 1,000 kilograms (kg) - 2,200 pounds (lbs) 1 Metric a-* of Oil - 7.60 barrels (39 APL) 1 Kilocalorie (kcal) - 3.97 British Thermal units (BTU) 1 Kilovolt (kV) - 1,000 volts (V) 1 Kilovolt ampere (kVA) l,00O volt-amperes (VA) 1 Megawatt (MW) = 1,000 kilowatts (kW) = 1 million watts 1 Kilowatt-hour (kWh) 1,000 watt-hours 1 Megawatt-hour (MWh) = 1,000 kilowatt-hours 1 Gigawatt-hour (GWh) = 1,000,000 kilowatt-hours 1 Ton of Oil Equivalent (toe)= 10 million kilocalories ABBREVIATIONS AND ACRONYMS CEA - Central Electricity Authority GOI - Government of India EDF - Electricite de France ICB - International Competitive Bidding IDC - Interest During Construction LCB - Local Competitive Bidding LSHS - Low Sulphur Heavy Stock LPG - Liquefied Petroleum Gas LRMC - Long Run Marginal Cost MMCMD - Million Cubic Meter per Day MOU - Memorandum of Understanding NGL - Natural Gas Liquids NHPC - National Hydro Electric Power Corporation, Ltd. NPP - National Power Plan NREB - Northern Region Electricity Board NTPC - National Thermal Power Corporation, Ltd. PFC - Power Finance Corporation, Ltd. PIB - Public Investment Board REB - Regional Electricity Board REC - Rural Electrification Corporation SEB - State Electricity Board STG - Steam Turbo-Generator Beneficiary's financial year ends March 31  FOR OrliICUL USE ONLY INDIA TALCHER THERMAL POWRU PROJECT LWAN AND PROJECT SUMMARY Borrower: India, acting by its President 8eneficiary: National Thermal Power Corporation Ltd. (NTPC) Amount: US$375 million Terms: Repayment over 20 years, ircluding 5 years grace, at the applicable rate of interest. Onlsnding Terms: From the Government of India (CCI) to NTPC, with repayment over 20 years, including 5 years grace, at an interest rate of not less than 14.0Z per annum. GOI would bear the foreign exchange and interest rate risks. Project Description: The Project's main objective is to assist in meeting the electricity demnd in the Eastern Region of India through the addition of about 1,000 KW of thermal capacity at Talcher in Orissa. The Project comprises the installa- tion of two 500 MK generating units, the construction of about 270 km of associated transmission lines, and the establishment of a satellite-based data processing comunication network. There are no unusual risks involved in implemeating the Project as NTPC is familiar with the design and construction of generation and transmission facilities and consulting support will be provided in those ares in which NTPC lacks experience. This document has a mstcted distribution and may be used by recipiets onty in th performa of their offic duties Its contents may not otherwise be discle witout Worl Dank autoization.  -ii- Estimated Cost: 1/ Local Foreign Total ----US$ Million--- Bas. Costs Preliminary Works 46.2 - 46.2 Civil Works 136.5 8.6 145.0 Main Plant Equipment 202.7 191.2 393.9 Other Mechanical Equipment 40.6 36.6 77.2 Electrical Works 9.4 37.6 47.0 Coal Handling & Transportation 42.9 18.0 60.8 Consultancy-REngineering 6.9 0.8 7.7 Satellite Communications Network 29.7 31.9 61.6 Transmission Lines & Substations 31.5 15.1 46.6 Engineering & Administration 46.7 - 46.7 Total Base Costs 593.0 339.6 932.7 Physical Contingencies 34.2 17.4 51.6 Price Contingencies 171.8 66.0 237.8 Total Project Costs 799.0 423.1 1t222.1 Interest During Constructions Bank - 101.1 101.1 : Other 52.1 - 52.1 Total Financing Required 851.1 524.2 1,375.3 =___ == ===== Financing Plan: Local Foreig Total