Adani Power Limited , India's largest private sector thermal power generator, has clinched a significant contract to develop an 800 MW Ultra-supercritical thermal power plant in Anuppur district, Madhya Pradesh. The company received a Letter of Award (LoA) from MP Power Management Company Limited (MPPMCL) for this project, marking its fourth major power supply order in the last 12 months.

Project Details

Key Highlights

• Adani Power emerged as one of the lowest bidders in a highly competitive process.
• The project aims to meet Madhya Pradesh's growing electricity demand due to increased industrialization and urbanization.
• Coal linkage for the power plant has been allocated under the Government of India's SHAKTI Policy.
• The project is expected to generate 6,000-7,000 jobs during construction and about 1,000 permanent positions during operation.

Recent Contract Wins

This contract adds to Adani Power's recent string of successes in securing major power supply orders:

1. 6,600 MW (5,000 MW solar and 1,600 MW thermal) in Maharashtra
2. 1,600 MW in Uttar Pradesh
3. 2,400 MW in Bihar

Company's Perspective

SB Khyalia, Chief Executive Officer of Adani Power, commented on the contract win: "As India's power demand continues to rise, driven by rapid economic growth, especially the base load power, it is imperative to invest in robust energy infrastructure to meet the nation's growing needs. Adani Power remains committed to securing India's energy future in a sustainable way by expanding capacity and embracing advanced technologies."

He further added, "The Anuppur plant will play a pivotal role in ensuring reliable, affordable, and competitively priced power for households and businesses, strengthening India's and Madhya Pradesh's energy security and fueling continued progress in the state."

Future Outlook

With this latest addition, Adani Power continues to solidify its position as a key player in India's power sector. The company's focus on expanding its capacity and adopting advanced technologies aligns with the country's growing energy needs and its commitment to providing reliable and affordable power to both households and businesses.

As Adani Power moves forward with the execution of this project, it is expected to sign a Power Supply Agreement (PSA) with the State Discom in due course, further cementing its role in Madhya Pradesh's energy landscape.

Adani Power Limited (APL), India's largest private sector thermal power generator, has received a significant boost to its expansion plans. The company has been awarded a 25-year electricity procurement contract from Bihar State Power Generation Company Ltd (BSPGCL), marking a major development in the power sector.

Project Details

The contract involves the construction of a new 2,400 MW greenfield ultra super critical thermal power plant in Pirpainti, Bhagalpur district, Bihar. The plant will consist of three 800 MW units, showcasing Adani Power's commitment to large-scale energy production.

Power Distribution

The electricity generated from this plant will serve two key distribution companies:

• North Bihar Power Distribution Company Ltd. (NBPDCL)
• South Bihar Power Distribution Company Ltd. (SBPDCL)

This strategic placement aims to strengthen the power infrastructure in both northern and southern regions of Bihar.

Financial and Economic Impact

According to the company's disclosure, Adani Power plans to invest approximately $3 billion in setting up the plant and related infrastructure. This substantial investment is expected to have a significant economic impact on the region:

• Direct and indirect employment generation of 10,000 - 12,000 jobs during the construction phase
• Around 3,000 jobs once the plant becomes operational

Competitive Edge

Adani Power secured this contract through a competitive bidding process, offering the lowest supply price of ₹6.08 per KWh. This competitive pricing demonstrates the company's efficiency and strategic positioning in the power generation sector.

Management's Perspective

S.B. Khyalia, CEO of Adani Power, emphasized the project's importance: "This plant will provide affordable and uninterrupted power to the people of Bihar, catalysing industrialisation, strengthening the state's economy, and supporting the prosperity of its people."

Market Response

Despite the positive news, Adani Power's shares traded 1.27% lower at ₹587.40.

Future Outlook

This project aligns with India's growing power demands, as the country's peak demand is expected to rise from the current ~250 GW to ~400 GW by 2031-32, and potentially reaching 700+ GW by 2047. Adani Power's expansion in Bihar positions the company to play a crucial role in meeting these increasing energy needs.

The upcoming Pirpainti project represents Adani Power's commitment to operational excellence and sustainability in the thermal power sector, reinforcing its position as a key player in India's energy landscape.