Adani Power Launches Major Expansion Project with 1600 MW Thermal Power Plant in Uttar Pradesh

New Delhi: Adani Power, a leading private thermal power producer in India, has announced a substantial expansion of its energy portfolio with the development of a new 1600 MW ultra-supercritical thermal power plant in Mirzapur, Uttar Pradesh. This project is a key component of the company’s strategy to double its thermal power capacity from its current 15.25 GW to approximately 30 GW by 2030.

Project Details and Investment

The upcoming thermal power plant, which will feature two units of 800 MW each, is a greenfield development spearheaded by Adani Power’s subsidiary, Mirzapur Thermal Energy (UP) Pvt Ltd. The estimated cost of this ambitious project is around Rs 14,000 crore, reflecting the substantial investment required for establishing a state-of-the-art thermal power facility. This cost aligns with the industry average for setting up new thermal power plants, which is approximately Rs 8-9 crore per MW.

This project marks a significant step in Adani Power’s broader strategy to expand its thermal power assets. The company is currently working to increase its thermal capacity from 15.25 GW to 16.85 GW and aims to reach a total of 30.67 GW by the end of the decade.

Historical Context and Acquisition

The location for this new plant was initially designated for a 1320 MW supercritical coal-based power project by Welspun Group’s Welspun Energy UP Pvt Ltd. However, following the acquisition of Welspun Energy by Adani Infra in 2019, the project was rebranded as Mirzapur Thermal Energy (UP) Pvt Ltd (MTEUPL). This acquisition, completed in June of this year, has enabled Adani Power to take over and advance the development of the plant.

Partnerships and Equipment Supply

In a notable development, Adani Power has awarded a major contract for the manufacture and supply of the main plant equipment and related auxiliaries to Bharat Heavy Electricals Ltd (BHEL). The contract, valued at Rs 3500 crore, also includes BHEL’s role in overseeing the installation and commissioning of the plant. This partnership underscores the collaboration between state-owned and private enterprises in enhancing India’s energy infrastructure.

Strategic Expansion and Future Outlook

The new Mirzapur power plant will significantly boost Adani Power’s generation capacity while expanding its geographical presence in India. This project is aligned with the company’s long-term strategy to increase its thermal power capacity and diversify its portfolio. The company has projected a significant capacity addition of over 80 GW in the coming years.

Furthermore, Adani Power is also progressing with a 1600 MW ultra-supercritical thermal power expansion project at its existing 1370 MW facility in Raipur, Chhattisgarh. This expansion reflects the company’s commitment to enhancing its thermal power capabilities and meeting growing energy demands.

Overall, these developments align with India’s broader energy goals, including a target of achieving 50% installed capacity from renewable sources by 2030 and a planned investment of Rs 6.67 lakh crore in additional coal-based power capacity to accommodate rising electricity demand.