Adani Power, NTPC, JSW Energy in the race for Sinnar Thermal
Adani Power, JSW Energy, Jindal Power, Vedanta Group, Torrent Power and state-owned NTPC are among 15 companies that have submitted formal expressions of interest (EOIs) for giving a resolution plan to take over the debt-laden Sinnar Thermal Power near Nashik in Maharashtra.
The 1,350 MW power plant, a subsidiary of RattanIndia Power, was initially developed by Indiabulls Power. It is a rare power producer readily available in India where building a green field project is both time-consuming and costly.
Bidders have till later this month to submit an initial resolution plan, which will include a ₹10 crore deposit, people familiar with the matter said.
«The beauty of this project is that it has a huge amount of 1,600 acres, out of which just 110 acres are yet to be acquired, which means any company buying it can double capacity by adding another 1,350 MW. But coal supply was, and still remains, a problem the prospective buyer will have to deal with,» said a person familiar with the plant.
In December 2022, government-owned South Eastern Coalfields cancelled the coal supply contract with Sinnar, citing the non-availability of a power purchase agreement (PPA) and non-commissioning of the majority of units of the plant. Sinnar's PPA with Maharashtra State Electricity Distribution Company (MSEDCL) was cancelled a few years ago.
«Coal supply is a major challenge. Also, only one unit of 270 MW has achieved commercial operations. The rest of the four units have worked at full load for between three and seven hours
