Speedy clearance of the selected joint venture partner, a consortium between Larsen & Toubro and US-based Community Energy Alternatives (CEA), would be a blessing for the power-starved state, Chief Minister E K Nayanar said here.Nayanar, who held parleys with union petroleum minister Vazhapadi K Ramamurthy today in this regard, said the minister had assured a speedy clearance of the proposal. The proposed investment in the venture is Rs 4000 crore.

Nayanar said the refinery had financial capabilities to generate funds for the project and it had rich experience in project implementation below approved cost and ahead of schedule.

The proposed power plant would be using the fuel available at the refinery itself at the cheapest cost, the Chief Minister said. Urging the centre to expedite steps to get financialclearance for the capacity expansion project of the refinery, Nayanar said the petroleum minister should hold a meeting of Public Investment Board (PIB) to give approval of the project.

Nayanar said the project would solve the needs for petroleum products in the region besides saving valuable foreign exchange. Without any budgetary support, Cochin Refinery would be able to mobilise funds for the project, he added.

The project has a great potential for getting revenue for the state and providing employment to thousands of people, he said. The capacity extension project at the refinery was aimed at increasing the output to 13.5 million tonnes per annum from the existing capacity of 7.5 million tonnes.Even though other power projects have signed PPAs, this project was hanging fire for quite some time.