Particle.news
Download on the App Store
5 ARTICLES
·
last wk.

UP Cabinet Approves 25-Year Power Deal with Adani Power for 1,500 MW

The agreement secures long-term thermal power supply at Rs 5.383 per unit, with operations set to commence by FY2030-31.

Image
Photo: SNS
Image
The U.P. government’s efforts to augment thermal power capacity in the state are being seen as long-term planning to meet the future power demand that is increasing at a fast pace in the state. (For Representation)

Overview

  • The Uttar Pradesh government has approved a 25-year power purchase agreement with Adani Power to supply 1,500 MW from a 1,600 MW thermal project in Mirzapur.
  • Adani Power emerged as the lowest bidder in a competitive process, quoting a tariff of Rs 5.383 per unit, combining fixed and fuel charges.
  • The project will operate under the DBFOO (Design, Build, Finance, Own, Operate) model, with Adani Power responsible for construction and operation.
  • The thermal plant is expected to begin supplying electricity by FY2030-31, addressing a projected shortfall in the state's energy needs by 2033-34.
  • The deal is anticipated to save the Uttar Pradesh Power Corporation Limited approximately Rs 2,958 crore over its term and provide power at a lower cost than existing thermal sources.