India may build $5.1bn Iran power plant

Drastic move being considered to increase India?s power supplies

A senior Indian energy official has said that the country is considering building a US$5.1 billion 5000 megawatts power plant in Iran.

News agency Reuters reported that Indian power secretary H.S. Brahma said the energy produced from the gas-fired plant would then be transmitted to India via a 1000km high-voltage cable.

"There is a shortage of coal, shortage of gas in India. This (power plant) is viable," Reuters reported Brahma as saying.

"Our ambassador in Iran is trying his best for this. This is a proposal from the ministry of external affairs. A team from Iran is likely to visit India this year to explore the possibility of investing in India and vice versa," he added.

Tensions with neighbouring Pakistan has meant that other proposed schemes to increase power to India, including constructing a gas pipeline from Iran, are not considered viable options.

Brahma also said that the plant would have to be large in scale due to the distance the generated electricity would have to travel.
 

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