Reliance Power joins hands with China Datang Corp for power projects

Reliance Power joins hands with China Datang Corp for power projects

By Bhawna Gupta

  • 24 Aug 2012

Anil Ambani group firm Reliance Power has joined hands with China Datang Corporation (CDT) for developing power and energy projects in India and abroad, a BSE filing states. This is the first such strategic partnership between an Indian company and a Chinese firm in the power sector, and comes after a series of financing partnerships between Reliance ADAG (for its various businesses) and Chinese lenders.

The joint venture includes co-operation to develop Reliance’s coal mines in Indonesia besides supporting operations and maintenance (O&M) services for power plants in India and other markets. State-owned CDT is represented by its global operations-focused subsidiary China Datang Overseas Investment Company (CDTO) in this venture. CDT, a Fortune 500 company, has generating capacity of 105,896 MW or more than half of the total power generation capacity of all producers in India.

“We will benefit from this partnership in being able to draw from CDT’s vast talent pool of experienced O&M resources. We will also be able to deploy best operating practices for equipment sourced from China and other global supplies,” Reliance Power said in a statement.

“Strategic partnership with Reliance provides us a platform to expand our footprint in emerging markets like India and Indonesia, which hold enormous business opportunity for us. We believe this development is a key milestone in our journey to become a world-renowned company with strong development capability, profitability and international competitiveness,” commented China Datang.

CDT, one of the top 50 companies in China, has total assets worth $83 billion, with a total workforce of nearly 98,100.

Public-listed Reliance Power Ltd is engaged in the development, construction and operation of power projects in India and abroad. It has an operating portfolio of about 1,540 MW. The firm claims to have the largest captive coal reserves in the private sector in India, estimated at more than 2 billion tonnes.

(Edited by Sanghamitra Mandal)