Corporate giant Reliance Industries Ltd is looking at setting up a 2,000-3,000 MW, green field, mega power project in Uttar Pradesh -- involving an investment of at least Rs 8,000 crore (Rs 80 billion).

"Reliance group has expressed interest in setting up a power project in Uttar Pradesh with a capacity of around 3,000 MW," Arun Mishra, chairman and managing director of UP Power Corporation, said in New Delhi on Friday.

The group was scouting for a location in the state following the announcement of a new power policy last month, he said, adding that he expected the project to be gas fired.

Mishra said the company was looking at few sites and had indicated a land requirement of 2,500 acres for the proposed venture.

Reliance group officials could not be contacted for comments. The group, which is channelising all its power ventures through BSES to be rechristened Reliance Energy, has already announced plans to set up a 1,000 MW power project in and around New Delhi and had been scouting for land in UP and Haryana, besides Delhi.

The green field project would supply power to not just UP, but Delhi and other adjoining areas where the group may pick up distribution circles.

Last year, the group lapped up two out of three distribution circles on offer in Delhi and has filed for parallel rights to supply power to the capital's NDMC localities, currently catered to by the local municipal body.