On January 18, 2024, the Cabinet Committee on Economic Affairs, led by Prime Minister Shri Narendra Modi, gave the green light to two mega proposals involving equity investments by South Eastern Coalfields Ltd (SECL) and Mahanadi Coalfields Ltd (MCL) in the development of thermal power plants.
As per the proposals, SECL is set to invest Rs 823 crore, adhering to a Debt-Equity Ratio of 70:30, with a 49 percent equity stake in a joint venture company. The power plant is projected to cost Rs. 5,600 crore and will result in the creation of a 1×660 MW Supercritical Thermal Power Plant. The power project would come up at Amarkantak Thermal Power Station in Village Chachai, Anuppur District, Madhya Pradesh.
As per the second proposal, MCL will contribute an Equity Capital of Rs 4,784 crore to establish a 2×800 MW Super-Critical Thermal Power Plant in Sundargarh District, Odisha. The estimated cost of this project is Rs 15,947 crore, and it will be carried out through Mahanadi Basin Power Ltd (MBPL).
Additionally, the Committee gave its approval to Coal India Ltd. for the establishment of two Pithead Thermal power plants through its subsidiary companies.
