Diversified group GVK is mulling the acquisition of two under-construction thermal power plants in Andhra Pradesh as the private developers executing these projects are facing a resource crunch and have offered to quit.

“The firm (GVK Power) is looking at acquiring two thermal power projects in Andhra Pradesh. It is evaluating that option,” a source close to the development told PTI.

However, he refused to share further details regarding the company’s endeavour as it is at a nascent stage.

“Can’t divulge the names of the projects right now, those projects are being developed by private power developers, but they are facing financial constraints and therefore want to exit from the projects,” he said.

GVK Power, which aims to become a 5,000-MW company in the next five years, is now engaged in the construction of four projects, including hydro and thermal projects.

The company’s under-construction projects include the 330-MW Alaknanda hydro project in Uttarakhand. Eighty per cent of construction work on the project is complete and the company has invested Rs 3,000 crore on the project so far. It is likely to be commissioned in 2013.

GVK Power is also executing an 850-MW hydro power project in Jammu, which will be commissioned in the next five years.

Another under-construction project is the 370-MW Goriganga hydro project in Pittorgarh, Uttarakhand. The project is likely to commence power generation by 2013.

The company is also executing the 540-MW Goindwal Sahib thermal power project at Tarn Taran in Punjab. To fulfil the coal requirement of the Goindwal Sahib power plant and other future projects in northern India, GVK has ventured into captive coal mining.

The Tokisud mining block, near Ranchi, in Jharkhand, is being developed into a captive coal mine. The coal for the Punjab plant will be drawn from this mine.

GVK Power operates three power projects with a cumulative capacity of 900 MW in Andhra Pradesh at present.

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