BHEL's exit from Udangudi Power depends on government's offer

Bharat Heavy Electricals Ltd (BHEL) will study the Tamil Nadu government's offer to it on the cancellation of the joint venture 1,600 MW Udangudi power project, an official said on Saturday.

"We have not got any official communication from the Tamil Nadu government/Tamil Nadu Electricity Board (TNEB) on the decision to scrap the power project. We will study the pros and cons of the offer that we expect the state government to make and decide on exiting the joint venture," a senior BHEL official not wanting to be named told IANS over phone from New Delhi.

Chief Minister J. Jayalalithaa Friday announced the cancellation of the joint venture citing the lack of progress in the Rs.8,000 crore Udangudi power project after the Memorandum of Understanding (MoU) was signed between TNEB and BHEL to promote the power project in 2007.

ref:
http://economictimes.indiatimes.com/news/news-by-industry/indl-goods-/-svs/engineering/bhels-exit-from-udangudi-power-depends-on-governments-offer/articleshow/12035637.cms