Punjab Secures Approval for 2400 MW Power Boost as Centre Clears Major Thermal Expansion

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In a significant development for Punjab’s energy future, the persistent efforts of Punjab Power Minister S. Harbhajan Singh ETO have resulted in the Centre’s approval for setting up three new 800 MW power generation units in the state. The clearance, which will add a total of 2400 MW thermal capacity, marks a crucial step in addressing the state’s rising energy demands and strengthening its power infrastructure.

The announcement came during a high-level conference of North Indian Power Ministers, chaired by Union Power Minister Manohar Lal Khattar. The meeting brought together energy ministers and officials from several northern states, including Haryana, Himachal Pradesh, Rajasthan, and Delhi, to deliberate on regional power challenges and cooperative strategies.

Representing Punjab, Power Minister S. Harbhajan Singh ETO emphasized the urgent need to expand the capacity of the Ropar Thermal Power Plant. He highlighted a longstanding challenge: while Punjab has access to its own coal reserves, the Union Government’s restriction on coal transport beyond 1000 kilometers has constrained expansion projects. He forcefully argued that these limitations were not in sync with Punjab’s growing energy needs, especially during the high-demand agricultural seasons like the paddy crop period.

In a move that signifies cooperative federalism at work, the Union Power Minister agreed to extend the coal transport distance to over 1500 kilometers. With this decision, two new 800 MW units will now be established at Ropar, in addition to a third 800 MW plant elsewhere in Punjab. The cumulative impact of this approval will be transformative, giving the state a robust 2400 MW increase in thermal generation capacity.

This breakthrough is being seen not only as a response to Punjab’s current power shortfall, but also as a proactive measure to secure long-term energy stability in a state that contributes heavily to India’s food security. During the same meeting, S. Harbhajan Singh ETO pressed for the immediate release of an additional 1000 MW from the central power pool, especially vital during the paddy sowing season when power demand for irrigation surges. Currently, Punjab is receiving only 275 MW, which is far below its urgent requirements.

The Minister also pointed to the logistical hurdles in meeting the Union Government’s ambitious target of 7000 MW solar generation in Punjab. High land prices in the state have posed significant challenges, prompting the Punjab Government to explore project options in neighboring states where land acquisition is more feasible. Despite the hurdles, the government is actively pursuing renewable energy options to complement thermal generation.

Another point of concern raised was the upgradation of two critical transformers at BBMB Jalandhar, from 100 MVA to 160 MVA. Although all approvals have been obtained and the cost will be borne by Punjab, the project has stalled, creating operational difficulties. The Minister urged the Centre to expedite action so the necessary upgrades could proceed without further delay.

The issue of reduced central assistance under the RDSS (Revamped Distribution Sector Scheme) also figured prominently in the meeting. S. Harbhajan Singh ETO noted that Punjab had initially expected 60% funding from the Centre for a ₹3600 crore project to strengthen its power distribution network. However, due to cost escalations and a static central grant, the effective assistance has dropped to 40%, resulting in an additional burden of approximately ₹300 crore on the state exchequer. The Minister called for a reassessment of the grant amount based on current cost structures to prevent financial strain.

The developments have reinforced the Punjab Government’s firm commitment to improving energy access and ensuring uninterrupted power supply to its citizens. The approvals granted by the Union Government have been hailed as a major policy win for the Mann-led administration, demonstrating both its persistent advocacy and strategic planning.

As Punjab positions itself to meet future energy demands with a combination of thermal expansion and renewable energy investments, these approvals are likely to bring a new momentum to the state’s power reforms and infrastructure modernization.

This is a web-generated news feature.
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