Essar Power on Wednesday announced the synchronisation of the first 600-mw unit plant of its 1,200-mw Mahan I project in Madhya Pradesh. With this, the total power generation capacity of Essar Power stands at 3,910 mw against 1,220 mw at the time of the company's IPO in May 2010, a statement issued here said.
'Our focus now is on the development of the Mahan coal block which will provide a low-cost fuel source for the power plant,' said Essar Energy Chief Executive Officer Naresh Nayyar.
Mahan I is using a combination of imported coal and coal sourced from Coal India Ltd's (CIL) e-auction process, while an application has also been made for an interim tapering coal linkage allocation from CIL, the release said. Coal from these sources will be required until the nearby Mahan coal block is operational. Essar Power has received stage 1 forest clearance for the Mahan coal block. The second 600-mw unit at Mahan I is expected to begin commercial operations during the first quarter of the next financial year, the release said. Mahan I has an investment of $1.2 billion and is the company's third coal-fired power project to enter commercial operations during the year, with a total capacity of 2,310 mw.
The Salaya I plant, also 1,200 mw, was completed in June while the 510-mw Vadinar P2 plant was completed in November. The Vadinar plant is providing power to Essar Oil's refinery here, where the availability of coal-fired generation is having a positive impact on refining margins, it said.
'Our focus now is on the development of the Mahan coal block which will provide a low-cost fuel source for the power plant,' said Essar Energy Chief Executive Officer Naresh Nayyar.
Mahan I is using a combination of imported coal and coal sourced from Coal India Ltd's (CIL) e-auction process, while an application has also been made for an interim tapering coal linkage allocation from CIL, the release said. Coal from these sources will be required until the nearby Mahan coal block is operational. Essar Power has received stage 1 forest clearance for the Mahan coal block. The second 600-mw unit at Mahan I is expected to begin commercial operations during the first quarter of the next financial year, the release said. Mahan I has an investment of $1.2 billion and is the company's third coal-fired power project to enter commercial operations during the year, with a total capacity of 2,310 mw.
The Salaya I plant, also 1,200 mw, was completed in June while the 510-mw Vadinar P2 plant was completed in November. The Vadinar plant is providing power to Essar Oil's refinery here, where the availability of coal-fired generation is having a positive impact on refining margins, it said.