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Coal India Limited (CIL) has partnered with Damodar Valley Corporation (DVC) to jointly expand the Chandrapura Thermal Power Station in Jharkhand, in a project worth nearly INR 21,000 crore. The two entities will share equity equally and develop two ultra-supercritical units of 800 MW each, adding 1,600 MW of capacity. Coal for the project will be supplied by CIL�s subsidiary, Central Coalfields Limited, with operations targeted to begin by FY 2031-32. Leveraging existing infrastructure, the brownfield project aims to ensure cost efficiency and timely execution. The collaboration strengthens India�s power generation base, supporting long-term energy security and sustainable growth.
Coal India Limited (CIL), the state-owned coal producer, announced earlier this week that it had signed a partnership agreement with Damodar Valley Corporation (DVC) to jointly expand a thermal power project in Jharkhand. The initiative, valued at nearly INR 21,000 crore, will see both entities sharing equity equally on a 50:50 basis. Advertisement
Under the agreement, CIL and DVC will not only work together on the Chandrapura Thermal Power Station expansion but will also explore other potential ventures in thermal and renewable energy. The proposed project at the existing Chandrapura site in Jharkhand will consist of two ultra-supercritical units of 800 MW each, bringing the total installed capacity to 1,600 MW.
Coal required for the project will be supplied by Central Coalfields Limited, a Jharkhand-based subsidiary of CIL. The development, construction, and commissioning of both units are included within the overall estimated cost. The plants are targeted to begin commercial operations by the financial year 2031-32, aligning with India's growing energy demand and the government's focus on enhancing power generation capacity.
A senior CIL executive remarked that the collaboration between the two public sector organisations was aimed at reinforcing India's baseload generation capability. The partnership would utilise existing infrastructure at the Chandrapura site to achieve efficient resource use and faster project completion.
The statement further noted that the brownfield nature of the project, situated in the coalfield area, would help maintain competitive variable costs for power generation. With all necessary infrastructure already in place, the expansion is expected to contribute significantly to meeting both regional and national electricity demand.
The CIL-DVC collaboration marks a crucial step towards bolstering India's power infrastructure through efficient utilisation of existing coalfield assets. By combining CIL's coal production strength with DVC's power generation expertise, the project is expected to support long-term energy security while ensuring cost efficiency. The expansion, once operational, will play a key role in meeting the country's growing electricity needs and advancing its broader energy sustainability goals.
Source - PTI
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