Essar Power is aiming to double capacity of its upcoming power plant in the Jamnagar district of Gujarat from 1,200 MW to 2,400 MW. The company has got the necessary coal supply arrangements for the project and is seeking additional land from the state government for the expansion, said sources close to the development. The project cost for expansion is estimated to be about Rs 4,500 crore, according to industry sources.
Essar is planning to announce this at the upcoming Vibrant Gujarat Summit in Gandhinagar early next year. “We would like to expand our capacity in Salaya if we can enter into necessary power purchase agreements for it. Besides, we also require some additional land for it,” said an official of the Essar Group. Essar Power is one of the four companies shortlisted by the Gujarat Urja Vikas Nigam (GUVNL) for power purchase bids for about 2,000 MW. The final bidding process will be completed shortly.
In reply to an e-mailed query, a company spokesperson said that it was premature to comment about the expansion project.
