The Madhya Pradesh Power Generation Company Ltd (MPPGCL) and the public sector navratna Bharat Heavy Electricals Ltd (BHEL) today announced a joint-venture to set up 2x800 MW supercritical thermal power plant at Khandwa district. The agreement was signed between BHEL Chairman and Managing Director B Prasada Rao and MPPGCL Executive Director (Finance) A M Sajnani at Hotel Lake View Ashok here on Thursday. The plant to be set up will be run on 'Build, Own and Operate Basis' (BOO). ''During the past two years, the state government signed several agreements to set up generating units. Khandwa district is set to become the country's next power hub,'' Union Minister of State for Heavy Industries and Public Enterprises Arun Yadav commented after the documents were signed. Yadav said, it was probably the first time that an agreement was signed so rapidly in Madhya Pradesh with his Ministry, he hoped that another power plant will be established at Bansagar for which a proposal will soon be forwarded to the Chief Secretary. ''The state regime will provide single-window clearance to all fresh proposals for setting up such plants. Proposed power projects need speedier clearance from the Union Ministry of Environment and Forests,'' said Chief Minister Shivraj Singh Chouhan. Dr Rao stated that the project's development will be taken up on priority basis. The first unit of the coal-based plant will come up in 48 months of the order being placed with BHEL while the second will be rendered operational by 54 months. The joint venture agreement was signed in presence of Shivraj Singh Chouhan, chief minister, Arun Yadav, union minister of State for Heavy Industries and Public Enterprises, Rajendra Shukla, minister of State for Energy & Mineral Resources, and BP Rao, CMD, BHEL. Rakesh Sahni, chief secretary and SPS. Parihar, secretary, Energy Department, were also present on the occasion in addition to directors on the board of BHEL as well as other senior officials of MPPGCL, DHI and BHEL. BHEL and MPPGCL have set up the JVC with initial equity equally subscribed by both the partners. Subsequently, the equity would be diluted so that the stake of both BHEL and MPPGCL is reduced to 26% each and the balance equity of 48% is subscribed to by Financial Institutions and other partners. The order for setting up of the power project would be placed on BHEL by the JVC on a nominated basis. The development of this project would be taken up on priority. The first unit of the coal-based power plant would come up within 48 months of the order being placed on BHEL with the second unit will get operational within 54 months. To this end, BHEL will initiate advance action for pre-engineering activities. The Turbine Generator units of 800 MW would be manufactured by BHEL at its Haridwar plant, while the once-through supercritical boilers, would be manufactured at BHEL