Central Coalfields Explores Joint Venture for Expansion of Tenughat Thermal Power Station

Central Coalfields (CCL), a subsidiary of Coal India, is actively exploring the possibility of forming a joint venture (JV) with the Jharkhand government for the second-phase expansion of the Tenughat Thermal Power Station (TTPS). Currently located in Lalpania village, Bokaro district, the power plant already operates two units of 210 megawatts (MW) each. The proposed expansion aims to add two supercritical units of 660 MW each, increasing the total installed capacity of the TPP to 1,740 MW.

Last week, high-level discussions between CCL officials and the Jharkhand government officials laid the groundwork for this potential collaboration. Both parties have agreed to establish two committees to iron out details related to the JV partnership and other modalities.

The envisioned partnership would involve the Jharkhand government providing land for the expansion, while CCL would contribute coal for the supercritical units from its nearby mines. The proximity of CCL's mines to the power plant makes it a strategic source for coal supply.

Operated by Tenughat Vidyut Nigam (TVNL), a Jharkhand government undertaking, TTPS plays a vital role in contributing around 350 MW to the state grid. The power generated is designated for the state-owned distribution company, Jharkhand Bijli Vitaran Nigam.

This development aligns with the broader strategy of Coal India and its subsidiaries to diversify revenue streams by investing in thermal power plants (TPPs) and exploring renewable energy sources. The Union Cabinet recently approved a cumulative equity investment of ₹5,607 crore by two CIL subsidiaries for setting up two pithead thermal power plants (TPPs) with a total capacity of 2,260 MW.

Encouraging mining PSUs to diversify, the Coal Ministry is fostering strategies beyond TPPs, including the installation of solar and wind power. As India's power demand continues to grow, the Ministry emphasizes the importance of TPPs, particularly pit-head TPPs, for maintaining the integrity of the power grid.

CIL, along with other mining PSUs like NLCIL, is actively pursuing plans to add a coal-based capacity of 6,640 MW, requiring an investment of over ₹60,300 crore. These projects are anticipated to be commissioned by FY29, contributing to India's energy infrastructure and addressing the growing demand for power.

HBL