Prime Minister Narendra Modi will visit Odisha on Saturday, during which the Prime Minister will lay the foundation stone of the first phase of the 3,200 MW Pit Head Green Field Thermal Power Project constructed by NLC India. A top official of the company said that the company is planning a capital expenditure of about Rs 40,000 crore for the next financial year and is likely to start the lignite to methanol project in the year 2027-28, which will produce 1,200 tonnes per day.
Speaking to reporters, Chairman and Managing Director (CMD) Prasanna Kumar Motupalli said that there will be a 2,400 MW (3 x 800 MW) first phase, the foundation stone of which will be laid by Prime Minister Narendra Modi. The second phase will be of 800 MW, whose plant will be set up later. This power project will be based on ultra super critical technology in Jharsuguda district of Orissa.
Motupalli said that the first phase will start in 2028-29, according to him an outlay of about Rs 27,200 crore will be made in the first phase and a total outlay of more than Rs 35,000 crore will be made in both the phases. On the question of funding, he replied that the amount will be raised from internal accrual, debt and asset monetization.
NLC India will transfer about 1.4 GW to its renewable energy subsidiary and raise about Rs 5,000 crore from it.
Chairman and Managing Director (CMD) Prasanna Kumar Motupalli, when asked about the land acquired for the Orissa project, said that about 1600 MW is required, for which the company has more than 300 acres of land in its possession and About 600 acres of land has been acquired.
Regarding the 3,200 MW project, CMD Motupalli said that this project will be the largest power project as per the Coal Ministry. The power generated from the first phase will be supplied to different states, such as 1,500 MW to Tamil Nadu, 400 MW to Odisha, 400 MW to Kerala and 100 MW to Puducherry.
Of the power generated from the second phase, 400 MW will be supplied to Odisha and the rest will be decided by the Coal Ministry. NLC India has awarded a contract worth over Rs 15,000 crore for a 2,400 MW power project from Bharat Heavy Electricals Limited (BHEL). Coal linkage is available from NLC India’s 20 MTPA Talabira 2 and 3 OCP mines, already operational since 2020, in Jharsuguda and Sambalpur districts of Odisha.
The water required for the project will be supplied from Hirakud Reservoir. The boilers will be designed to suit co-firing of biomass as part of the green initiative.
The company said the variable cost will be competitive as it is a pit head thermal power project and NLC India will provide low cost power to its beneficiaries.
CMD Motupalli said that NLC India will also add 2×660 MW capacity at Neyveli in Tamil Nadu.