Gandhinagar, Mar 21 IANS): The National Thermal Power Corporation Ltd (NTPC) will set up a 1,000 MW coal-based thermal power station at Khambat in Gujarat's Anand district at a cost of Rs.5,000 crore.

It will also set up projects for production of 500 MW from renewable energy at an investment of Rs.4,000 crore, said union Minister of State for Power Bharatsinh Solanki. Earlier, an MOU was signe between the NTPC and the Gujarat Power Corp Ltd (GPCL) here on undertaking 500 MW solar and wind power projects.

A separate MOU would be signed for the thermal power project soon. "GPCL is seized with related issues like land allotment, water arrangement and power purchase at the moment," the minister added.

The minister said that the Nuclear Power Corporation of India Ltd (NPCIL) would also be setting up a 6,000 MW atomic power station in Bhavnagar district of the state. Additionally Gujarat may also bag the second ultra mega power project (UMPP) with the location expected to be finalised soon," he added. The first 4,000 MW UMPP being set up at Mundra in Gujarat has gone to the Tatas.

According to the MoU signed here Saturday, development of a minimum of 500 MW of power generation in various renewable energy projects is envisaged. The state government has allocated 50 MW solar capacity generation to NTPC, which would invest Rs.500 crore in the next 30 months at the project site located at Morwada in Banaskantha district, where land has been allotted.

Besides, 400 MW of wind energy is also proposed to be generated, for which the location is yet to be decided.