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Thermal power is back in business as govt makes commitment clear

Deals in Punjab and Odisha shows coal-fired plants are crucial to economy

Energy, Power Generation, Electricity, Coal, Thermal Power
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Representative image | Photo: Bloomberg

Subhomoy Bhattacharjee New Delhi

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Punjab bought in January a private coal-fired plant for Rs 1,080 crore and before that Odisha public sector BHEL won a bid to build three such units for some Rs 20,000 crore, showing that withdrawing from thermal power was “premature”.

Not without reason. Late November, Union Minister R K Singh said: “Given the power needs, the industry will keep getting orders for thermal capacity addition for the next five-seven years”. “Thermal energy was written off a few years ago, which was premature,” he said in a meeting with power companies and others.

The capacity building is a change from 2017-18