MP to Add 1320 MW More Capacity to Two Existing Power Plants

24 Sep 2025

Madhya Pradesh is set to make a significant stride in its energy infrastructure with the addition of 1,320 MW of power capacity to its existing thermal power plants at Sarni (Betul) and Chachai (Amarkantak).

The Madhya Pradesh Power Generating Company Limited (MPPGCL) has commenced the construction of a 660 MW ultra-supercritical unit as part of Phase V of the Satpura Thermal Power Project. This ambitious initiative aims to substantially enhance the state's power surplus, addressing the growing demands of both industrial expansion and population growth.

Originally envisioned in 2012, the project experienced delays driven by regulatory hurdles and technological shifts. Now, revitalised with cutting-edge ultra-supercritical technology, the new unit is set to deliver enhanced efficiency and significantly lower emissions. The total estimated cost of the project has risen to ?11,671 crore, driven by inflation and enhanced specifications.

"Despite the increase, the state government has reiterated its commitment to maintain the previously promised 15% funding, ensuring no additional fiscal burden. The government's contribution will be integrated into the loan structure, with only ?66 crore needed to finalise the financial plan," said Kailash Vijayvargiya, Urban Development Minister and government spokesperson, following a Cabinet meeting where the state government decided to proceed with the project.

The plant is slated for commissioning by 2030 and is a key component of a broader strategy aimed at ensuring long-term energy security for Madhya Pradesh. The Satpura expansion has also received environmental clearance from the Ministry of Environment, Forest, and Climate Change, confirming its adherence to national sustainability standards, according to the minister.

A parallel thermal power project, valued at ?11,476 crore, has also been approved under comparable conditions. This includes a 660 MW unit at Chachai, Amarkantak, which will increase the combined capacity of both projects to 1,320 MW.