CIL, DVC to Build 1,600 MW Thermal Plant in Jharkhand with ?16,500 Crore Investment

24 Apr 2025

Coal India Limited (CIL) and Damodar Valley Corporation (DVC) have signed a non-binding Memorandum of Understanding (MoU) to collaboratively establish a 2x800 MW ultra-supercritical thermal power plant in Jharkhand. The proposed project entails an estimated investment of ?16,500 crore and aims to enhance power generation capacity while promoting energy efficiency through advanced technology.

"The total investment is estimated at ?16,500 crore, with the joint venture structured on an equal 50% equity-sharing basis," the statement said. The proposed coal-fired power plant will be developed as a brownfield expansion of the existing Chandrapura Thermal Power Station (CTPS), which currently has an installed capacity of 2×250 MW. The new project will be undertaken by a joint venture company, with equal equity contributions from both participating state-owned entities.

The MoU was signed in Kolkata in the presence of Coal India Limited (CIL) Chairman P.M. Prasad and Damodar Valley Corporation (DVC) Chairman S. Suresh Kumar. The agreement was formally executed by CIL Director of Business Development Debasish Nanda and DVC Member (Technical) Swapnendu Kumar Panda.

The coal for the upcoming plant will be sourced from the coalfields of Bharat Coking Coal Limited (BCCL) and Central Coalfields Limited (CCL), both of which are subsidiaries of Coal India Limited (CIL). DVC, a leading thermal and hydropower generation company, operates across Jharkhand and West Bengal. The collaboration represents CIL's latest step in expanding its footprint within the thermal power generation sector as part of its broader business diversification strategy.