The decision was taken by the state cabinet at its meeting chaired by Chief Minister Shivraj Singh Chouhan here today, official sources said.
NPCIL plans to set up a 1,400 MW plant at Bhimpur in Mandla district and another of 700 MW capacity at Chutka in Shivpuri district.
The cabinet also gave a nod to Madhya Pradesh Power Management Company to buy 400 MW for supplying uninterrupted electricity to domestic users from October 2012 to March 2014, they said.
In another decision, it approved a relief and rehabilitation package for National Thermal Power Corp's 2X660 MW proposed plant, spread over three villages, in Khargone district. NTPC will supply 50 per cent of the electricity from this plant to Madhya Pradesh, the sources said.
The cabinet approved a Rs 6016.17-crore expenditure plan under 12th Five-Year Plan (2012-17) for state-run power companies.
In a separate meeting, Chouhan, while reviewing the activities of Urban Administration and Development Department, took stock of the progress of starting Metro Rail in Bhopal and Indore, the sources said.
The metro project will cost around Rs 8,000 crore, of which 70 per cent will be funded through loans and the remaining 30 per cent will be borne by the Centre and the State Government in equal proportion.
The Chief Minister directed the authorities to ensure time-bound implementation of the project, they added.
