KSK Energy Ventures Ltd has synchronised its first 600 MW unit of the KSK Mahanadi power plant with the national grid and begun power generation.
This is part of the 3600 MW (six units of 600 MW) fuel-integrated power plant in Chhattisgarh. It will go through the necessary stabilisation procedures before commencement of power supply to contracted utilities.
T.L. Shakar, Chairman of KSK, in a statement said, “These developments demonstrate real progress, with such large generation initiative having been successfully handled by the operating team with all the challenges on ground and under the tough economic environment.”
“While the last few years have been difficult for the power sector, the KSK group has continued to make investments commitments and has made progress on the Mahanadi project. While the commencement of supplies starts, KSK’s focus will be on addressing various supply chain and other challenges,” he said.
The company is also working with the contracted Government entities for the delivery of early coal supplies from long-term sources. It is in the process of commissioning the balance five units of 600 MW.
The $3.6-billion single location greenfield private coal-based power plant, when completed, will address the power requirements of Gujarat, Chhattisgarh, Goa and Andhra Pradesh.
The company has long-term coal supply arrangements with the Gujarat Mineral Development Corporation and the Goa Industrial Development Corporation from the Morga-II and Gare Pelma-II coal blocks respectively. It also enjoys the benefit of tapering linkage arrangements with Coal India.
Following recent decisions of the Group of Ministers to address fuel issues surrounding highly progressed power projects across the country, including KSK Mahanadi, the Ministry of Environment and Forests, has accorded forest clearance to GMDC and its Morga-II coal block.
KSK Energy shares were trading up 4 per cent at Rs 51.05 during the day at BSE.