India Orders Tata Power’s Gujarat Coal Plant to Run at Full Capacity

India has directed Tata Power Company Ltd to operate its 4-gigawatt imported coal-based plant in Gujarat at full capacity from April 1 to June 30, as the country prepares for a surge in electricity demand during the summer months. The government order aims to ensure adequate power supply as rising temperatures are expected to push consumption to record levels.

The move comes amid projections that peak power demand could reach around 270 gigawatts, significantly higher than last year’s levels. Authorities have indicated that similar directives could be extended to other imported coal-based plants if required. The government is also working on setting benchmark tariffs for electricity generated from such plants to manage costs and maintain supply stability.

The Gujarat plant had remained largely idle for the past six months due to high imported coal costs and the lack of a long-term power purchase agreement. However, a recent approval by the state government has cleared the way for resumed operations. The decision highlights India’s efforts to prevent power shortages and maintain energy security during periods of high demand.

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