HYDERABAD: The Union government on Tuesday offered 200 MW clean energy to Telangana from Neyveli Lignite Corporation (NLC) solar power plant under Central Public Sector Undertaking (CPSU) scheme and asked the state government to sign an MoU for the same.
In a statement, Union Coal Minister G Kishan Reddy said that the NLC agreed to supply 200 MW solar power to Telangana every year, as part of Indian Renewable Energy Development Agency (IREDA) scheme, within the purview of CPSU scheme.
The NLC is starting a 520 MW power plant in Kutch district in Gujarat with an estimated cost of Rs 1,214 crore. The work on the plant has almost been completed and the commercial product is expected to commence from June 2025.
This solar plant would meet the power requirements of Telangana, Kishan said. The state would purchase power at Rs 2.57 per unit and would save around Rs 2,000 crore in the next 25 years, he said.
The solar panels required for the Gujarat plant would be purchased from Telangana, the Union minister said, adding that this would translate into direct and indirect employment as well as SGST revenue.
The Union minister requested the state government to sign an MoU with NCL. He said that the Centre was supporting the state in meeting its power requirements.
The Union government sanctioned Ramagundam thermal plant (1,600 MW) and NTPC Ramagundam solar plant (100 MW), the Union minister said, adding that if the Telangana government signed the MoU with NLC, the Centre was ready to construct another 2,400 MW unit at Ramagundam thermal plant.