In Short:
NLC India, a government-owned coal and power producer, will start operating the first unit of the Ghatampur thermal power plant in Uttar Pradesh on July 31. The second and third units are expected to be operational by November and March 2025. The plant aims to add ₹500-600 crore to the company’s profit. The delay in full operation was due to supplier issues but has since been resolved.
NLC India’s New Ghatampur Thermal Power Plant Ready for Commercial Operations
NLC India, the cool government-owned company we all know and love, is gearing up to kickstart commercial operations at the first unit of its brand new Ghatampur thermal power plant in Uttar Pradesh on July 31. How exciting! The second and third units are not far behind, with their commercial operation dates expected in November this year and March 2025. So, get ready, folks, because the financial year 2025-26 will mark the inaugural full year of operations for this massive 1,980 MW power station.
What to Expect
With the commencement of sales of electricity from the Ghatampur station, NLC India’s net profit is projected to swell by a whopping ₹500-600 crore. Not too shabby, huh?
In the financial year 2023-24, NLC India reported a turnover of ₹10,518 crore and a net profit of ₹1,846 crore. Looks like they’re on a roll!
Delays and Challenges
Unit-I of the power plant was all set to go in November after being connected to the grid. However, there was a slight hiccup in the form of delays in the Commercial Operation Date (CoD). NLC India’s Chairman and Managing Director, Motupalli Prasanna Kumar, pointed out that the holdup was due to some issues with the ‘balance of plant’ components, primarily from the supplier, BGR Energy. But fear not, as those problems have been ironed out, and NLC India is confident about commissioning all three units within the deadline.
Powering Up
The Ghatampur thermal power plant, with a hefty investment of ₹19,406 crore, is a joint venture between NLC India and Uttar Pradesh Rajya Vidyut Utpadan Nigam. Once operational, a significant portion of the electricity generated will be sold to UP Power Corporation and Assam at competitive rates.
To fuel this giant power station, NLC India will be mining coal from its Pachwara South Coal Block in Jharkhand, with a focus on sustainability and efficiency. It plans to mine 9 million tonnes of coal annually, utilizing a portion for the Ghatampur plant and selling the excess in the market.
Market Performance
On the stock market front, NLC India shares closed at ₹279.15 on Friday, showing a slight decrease from the previous day. However, with a strong earning per share ratio, the future looks bright for this powerhouse of a company.
So, there you have it – NLC India’s bold move towards powering the nation with its state-of-the-art Ghatampur thermal power plant. Stay tuned for more electrifying updates!
