Tata Power has completed construction of the second 800 MW unit of its flagship Mundra ultra mega project in Gujarat, taking the company's overall capacity to over 6,000 MW.
The country's largest power producer today said it has synchronised the second 800 MW of 4,000 MW Mundra Ultra Mega Power Project (UMPP).
"With synchronisation of unit 2, the thermal power generation capacity of Tata Power stands at 5,247 MW and the generation through clean sources such as hydro, wind and solar stands at 852 MW," the company said in a statement.
Tata Power's total generation capacity now stands at 6,099 MW, it added.
The first unit of Mundra UMPP, which is fired by imported coal from Indonesia, was commissioned in March this year.
"The synchronisation of unit 2 of Mundra UMPP is a significant milestone given the power shortage in the country. With this development, Tata Power's gross generation has crossed 6,000 MW...," Tata Power Managing Director Anil Sardana said.
Burdened with losses at Mundra project on account of expensive imported coal, Tata Power has moved the central electricity regulator CERC seeking higher electricity tariff for power generated from the plant.
Changes in Indonesian fuel pricing regulations have made the UMPP unviable at existing tariffs.
"It is also wished that the company would receive a viable framework in response to its petition at CERC," Sardana said today.
The company won the Mundra UMPP through competitive bidding by quoting a price of Rs 2.26 per unit, a tariff which has now become unviable.
Now, the company has sought higher tariff of about Rs 3 per unit.
Meanwhile, Tata Power said the Mundra project would use 1.7 million tonnes of less coal annually.
"This not only makes available more coal in the long run for power generation but also reduces carbon emission of 3.6 tonnes per year," it added.
"In addition to being compliant with Government of India and Gujarat Pollution Control Board's stipulations, the project is also compliant with the International Finance Corporation's environmental and social standards," the statement noted.