How is Adani Power Supplying 1,500 MW to US from a New Greenfield Power Plant?
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Synopsis
In a remarkable move, Adani Power has secured a bid to supply 1,500 MW of thermal power to Uttar Pradesh, reflecting the company's commitment to meeting rising energy demands. This project, backed by a $2 billion investment, promises to generate thousands of jobs and establish a cutting-edge power facility by FY30.
Key Takeaways
- Adani Power secures a bid for 1,500 MW thermal power.
- Investment of $2 billion in the greenfield power plant.
- Job creation: 8,000-9,000 during construction.
- Power supply projected to start by FY30.
- Initiative supports rising demand for thermal power in Uttar Pradesh.
Ahmedabad, May 10 (NationPress) Adani Power Ltd announced on Saturday that it has successfully secured a competitive bid to supply 1,500 MW (net) of thermal energy to Uttar Pradesh. This agreement entails that India's largest private thermal power generator will provide electricity at an impressive tariff rate of Rs 5.383 per unit from a new 2x800 MW (1500 MW net) ultra-supercritical power station, which will be established under the Design, Build, Finance, Own, and Operate (DBFOO) framework in the region.
This development follows the Uttar Pradesh cabinet approving the project earlier this month. The company is set to finalize a long-term Power Supply Agreement (PSA) with Uttar Pradesh Power Corporation Ltd. (UPPCL) as per the Letter of Award (LoA).
“We are thrilled to have won this competitive bid to deliver 1,500 MW of power to Uttar Pradesh, and we feel honored to contribute significantly to meeting the state’s escalating power requirements. Our objective is to establish a state-of-the-art, low-emission ultra-supercritical plant in UP, with plans to commence the supply of dependable and high-quality power by FY30,” stated S.B. Khyalia, Chief Executive Officer of Adani Power.
Khyalia also mentioned that Adani Power intends to invest $2 billion in the construction of the plant and its associated infrastructure.
The initiative is projected to create direct and indirect job opportunities for 8,000-9,000 during the construction phase and 2,000 jobs once operational.
The demand for thermal power in UP is anticipated to increase by 11,000 MW by 2033-34, driven by factors such as industrial expansion, urban growth, and modernization. This 1,500 MW order is part of the government's strategy to fulfill that future demand.
This marks the second significant PSA bid that the company has secured in the past year, following the receipt of a composite 6,600 MW (1600 MW thermal and 5000 MW solar) Letter of Intent (LoI) from Maharashtra State Electricity Distribution Company Ltd (MSEDCL) in September 2024, which has now been converted into a PSA.
Point of View
The successful bid by Adani Power not only signifies a strategic move in addressing the escalating energy needs of Uttar Pradesh but also showcases the commitment of private sector players in contributing to India's energy infrastructure. This project is expected to bolster local economies and create substantial employment opportunities.
NationPress
21/05/2025
Frequently Asked Questions
What is the capacity of the new power plant Adani Power is establishing?
The new power plant will have a capacity of 1,500 MW (net), powered by ultra-supercritical technology.
What investment is Adani Power making in this project?
Adani Power plans to invest $2 billion in setting up the plant and the necessary infrastructure.
How many jobs will this project create?
The project is expected to create 8,000-9,000 jobs during the construction phase and around 2,000 jobs once it is operational.
What is the expected timeline for the power supply to begin?
The company aims to start supplying power by FY30.
How does this project align with future energy demands in Uttar Pradesh?
This project is part of the government's initiative to meet the anticipated rise in thermal power demand of 11,000 MW by 2033-34.
