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The Cabinet Committee on Infrastructure on Thursday approved Neyveli Lignite Corporation's Rs 5,907.11-crore lignite-based thermal power project in Tamil Nadu.
The project will involve setting up of two units of 500 MW each at Neyveli in Tamil Nadu. The estimated project cost of Rs 5,907.11 crore at October-2010 prices includes interest during construction of Rs 559.03 crore and a foreign exchange component of Rs 969.81 crore ($217.009 million).
The power generated from the new thermal power project (2x500MW units) will cater to the demand of the southern States.
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