The engineering major would make turbines and boilers at the Hazira plant, L&T CMD A M Naik said. For this purpose, it has floated two companies — L&T Turbines and L&T Boilers.

Last year, the company had signed a joint venture agreement with Japan's Mitsubishi Heavy Industries for setting up a manufacturing facility for super-critical boilers, super steam turbines and generators. The plant would have a capacity of 2,000-3,000 MW a year. It is expected to be commissioned in two years.

The agreement follows the technology licensing and technical assistance agreement for manufacturing of super-critical turbines and generator, signed between L&T, Mitsubishi Heavy Industries and Mitsubishi Electric Corporation.

The product, an integral component of energy efficient coal-based power plants is expected to meet the demand-supply gap.