Chandigarh: Punjab State Power Corporation Limited (PSPCL) on Wednesday signed an agreement with a distillery for buying 6.5 MW electricity from its biomass project.

Under this arrangement, PSPCL will buy 6.5 MW of power for next 25 years from the company, PSPCL Chairman and Managing Director K D Chaudhri said in a release here.

The rate of purchasing power is yet to be decided by power regulator Punjab State Electricity Regulatory Commission.

NV Distilleries & Breweries would produce 10 MW of power by using biomass as fuel and this plant located at Rajpura is expected to be commissioned next month with an investment of Rs 50 crore.

A sum of Rs 3,500 crore will be spent on upgradation of power infrastructure in next two years in Punajb while state will turn power surplus in 2014, Punjab State Power Corporation CMD K D Chaudhri said in Patiala on Wednesday.

He stated this while addressing 92 new candidates who joined PSPCL as Assistant Engineer, Assistant Manager here on Wednesday while seeking cooperation from new officials to achieve power targets.

He said Punjab will become power surplus by year 2014 as 4000 MW of additional power output will be available from upcoming thermal power plants.

On the distribution side he pointed out that Aggregate Technical and Commercial Losses of PSPCL are second lowest in the nation, behind only Andhra Pradesh.

(Agencies)

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