Tata Power subsidiary revives 4000 MW Mundra thermal plant

Power Sector News India

Coastal Gujarat Power Limited has received approval for a supplementary power purchase agreement (SPPA) to support the revival and continued operation of its 4,000 MW Mundra thermal power plant in Gujarat. The revised agreement allows the pass-through of imported coal costs under the tariff framework, addressing the financial strain caused by volatility in international coal prices that had impacted the plant’s commercial viability. With this regulatory approval, the project is expected to restore stable power generation operations and ensure sustained electricity supply to the beneficiary states. The revised framework will also enable the company to recover losses estimated at around ?1,000 crore while improving long-term operational sustainability of the ultra mega power project.

Note: The above-mentioned news was first published by us in our ProjectX India | 1st April 2026 edition.. Do you want to buy this issue or our latest issue? If yes! click here

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