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Essar Power commissions second unit of Mahan power plant in Madhya Pradesh

   October 11, 2018        717        ET Energy World

 Essar Power, a wholly-owned subsidiary of the Ruia-owned Essar Group, today announced it has commissioned the second 600 megawatt (Mw) unit of the Mahan power plant in Madhya Pradesh, completing overall Rs 8,000 crore investment in the flagship project.

“With the completion of the capex cycle at Mahan, we now have 3,830 Mw of generation capacity, with another 1,260 Mw under construction, and a presence in the high-margin transmission sector. We have invested more than Rs 30,000 crore in the power portfolio, which includes Rs 10,000 crore of equity and are now among India’s largest private power producers,” Prashant Ruia, Director-Essar Group, said.

He added the cancellation of the coal mine assigned to the plant had severely affected the Mahan project and led to project delays and cost overruns, leading the company to double equity investment to Rs 3,300 crore to ensure the project is completed.

The company said both the 600 Mw units of the 1,200 Mw project are now operational and are supported by raw material sourcing and evacuation infrastructure.

Essar Power also said coal for the project will be transported with the help of the Gajra Behra railway siding capable of handling up to 3 rakes per day. The plant is connected to the inter-state transmission system of operated by Powergrid Corp through a 400 Kilovolt transmission line commissioned a fortnight back.

“In the last one year, we have commissioned more than 1,500 Mw of operational capacity and 465 Km of transmission lines. Our focus has been on sweating our investment and meeting the growing demand for power in the nation, emerging as a significant player in the sector,” Essar Power’s Executive Vice Chairman Pradeep Mittal said.

Essar Power owns and operates plants in India and Canada with a generation capacity of 5,090 Mw, of which 3,830 MW is operational. The operating plants are located at Mahan in Madhya Pradesh, Hazira and Salaya in Gujarat, Paradeep in Odisha and Algoma in Ontario, Canada. Additional 1,260 Mw capacity is under construction at Tori in Jharkhand, and Paradeep. The firm has also built a 465-Km long transmission network across three Indian states.

ET Energy World