APL to build 1320 MW thermal power plant in Madhya Pradesh

16 February 2010 - Adani Power Limited (APL) has been awarded a letter of intent (LOI) by the Government of Madhya Pradesh (MP), India, for development of a 1320 MW thermal power project in Chhindwara district of MP.

As per the LOI, 300 hectares of land, presently in possession of Madhya Pradesh State Electric Board along with the infrastructure facilities, will be transferred to APL. The first 660 MW unit is expected to be commissioned within 42 months of the date of the LOI. In addition, the energy department of the MP government will also support and make recommendations to the Indian officials for obtaining coal linkage and captive coal block for the project.

The Government of MP has reserved water required for this project from Pench river. As per the LOI, 10 percent of net energy generated from the project shall be supplied by APL to the state government at variable cost to be determined by appropriate commission. The MP government has the first right to purchase power up to 40 percent of aggregate capacity of the project for a period of 20 years at such tariff.

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