Lignite and power major NLC India Ltd (NLCIL) says it is in the process of implementing power projects, which include thermal and solar, for a total capacity of more than 11 GW. The company’s lignite-to-methanol project is expected to be completed by March 2027.
The company will be adding about 5.6 GW of solar capacity through 7 projects across the country. These projects will be commissioned from March 2024 to FY28, the company management said during its Q2FY24 earnings call.
These renewable energy projects include a 600 MW solar project at Khavda, Gujarat from GSECL (Gujarat State Electricity Corporation Ltd) solar park Tender (300 MW plus 300 MW under Greenshoe option), a 1000 MW solar power project in Assam through JV Mode and an 810-MW solar project from Rajasthan Rajya Vidyut Nigam Ltd (RRVUNL), among others.
NLC India is also implementing 5.7 GW of coal-fired projects that include the 1980 MW project of Neyveli Uttar Pradesh Power Ltd, A Joint Venture between NLCIL & UPRVUNL Ghatampur Thermal Power Project (GTPP), 2400 MW of NLC Talabira Thermal Power Project and 1320-MW lignite-based Thermal Power Project TPS II 2nd expansion.
Estimated capex
The estimated capex for these thermal projects is about ₹50,000 crore. While the first project is expected to be commissioned by March 2024, the other two thermal projects are expected to go on stream by March 2029.
Overall, the company has planned to become a 17 GW company by 2030. Of the proposed capacity, thermal capacity will reach 11 GW from 4.6 GW now, while total renewable capacity will increase to 6 GW from 1.4 GW now.
It has also planned to boost the mining capacity to 82 mtpa by 2030, up from 50 mtpa now. Currently, it is implementing 12 mtpa projects, which will be commissioned between March 2024 and March 2026.
As part of its diversification plans, the company has also been working on a lignite-to-methanol project of 0.4 mtpa capacity at Neyveli, Tamil Nadu. The ₹4,394-crore project, which will require 2.26 MTPA lignite, is expected to be completed by March 2027.