No decision on Adani's Mundra plant transfer

Adani Power needs lenders' go-ahead for hiving off the plant

The Union government’s board of approval (BOA) for Special Economic Zones has deferred a decision on Adani Power’s proposal to transfer its Mundra power plant in Gujarat to a subsidiary.

In a meeting on July 3, the BOA withheld the decision, asking the company to first obtain a no-objection certificate (NOC) from lenders. The NOC will have to follow the directions laid out by the National Company Law Tribunal (NCLT).

The Mundra plant has debt of Rs 28,753 crore, which is not being transferred with the plant. Adani Power requires the BOA approval as the 4,620-megawatt (Mw) power plant, with five units