Essar Power is planning to invest Rs 4,000 crore for setting up a 1,000 MW coal-fired power plant in Chhattisgarh."We have decided to build a 1,000 MW power plant in Korba district with an investment of Rs 4,000 crore," H S Sethi, resident director of Essar Steel (Chhatisgarh), said.Sethi said the power plant would have two units of 500 MW each, and would supply power to Essar Steel's upcoming 3.2 million tonne steel plant in Dantewada district.The steel plant is located about 450 km from Raipur and close to Baila Dila iron ore mines, he said, adding the district had huge iron ore deposits but lacked coal mines. "This has prompted the Essar group to set up a power plant in the coal-rich Korba district," Sethi said.Sethi said the power plant would be operational within two years and before the commissioning of the steel project.Essar Steel would require about 300 MW, and the balance would be sold to the Chhatisgarh State Electricity Board, Sethi said, adding they have initiated talks with the state government to get necessary approvals for setting up the power plant.
