Jaipur: The Ministry of Coal has rejected a request from Rajasthan Vidyut Utpadan Nigam Ltd for permission to continue the supply of coal from its Chhattisgarh mines to Chhabra Thermal Power Plant. The ministry stated that the plant is now a joint venture project with NTPC, which has operation and management control.The ministry said the Parsa Kanta & East Basin coal mines allotted to RVUNL are for specified projects. Since the management and control of the Chhabra plant changed due to the joint venture, the coal cannot be accessed from the mine for the project.According to the agreement signed on Nov 2, 2024, both companies formed a 50:50 joint venture partnership to own and operate the existing 2,320 MW Chhabra plant. It was also mentioned that the joint venture will explore opportunities for the plant’s capacity expansion in the future.In a letter to the RVUNL chairman and managing director, the coal ministry expressed regret in not being able to accede to the request. The ministry advised ensuring that the coal produced from the said coal mines is utilised for other specified end-use plants or in any other plants of the allotted or its subsidiary company, as permitted under clause 8.4 of the allotment agreement.The ministry further clarified that the joint venture with NTPC cannot be its subsidiary, as it holds only a 50% stake, with the remaining 50% held by the PSU. Additionally, NTPC is in control of the Chhabra plant.
Coal supply to Chhabra plant at risk following joint venture with NTPC | Jaipur News
