Adani Power’s ‘robust’ expansion plan, set to increase generating capacity by 9,020 MW

New Delhi:

Adani Power Limited is now going to increase its capacity to 9,020 MW. Adani Power, the country’s largest private thermal power producer, reported a 96% increase in EBITDA on the back of improvements in fuel costs.

Capacity expansion proposal up to 9,020 MW

Adani Power’s existing power generation capacity is 16,850 MW and an additional 1,600 MW is already under construction. The company has proposed expansion of organic and inorganic capacity up to 9,020 MW.

Adani Group Chairman Gautam Adani said that with the commissioning of the 1,600 MW Godda Ultra-Supercritical Thermal Power Plant, Adani Power has increased its operating capacity by 12% to 15,250 MW. Gautam Adani called the year 2023 ‘different from other years’. The plant is scheduled to be commissioned in FY 2028.

Apart from the proposed acquisition, the company also plans to add 4,800 MW of brownfield capacity over the next few years, taking their total capacity to 24,270 MW. It plans to start another project of 1,600 MW at Raigarh Power Plant in Chhattisgarh.

Electricity demand at record high

Their strong growth and expansion plans are attributed to population expansion and urbanization trends, as India’s power demand hit a record high in FY24. Strong cash flow from operations and regulatory receipts helped the company reduce leverage, leading CRISIL and India Ratings to upgrade its credit rating from ‘A’ to ‘AA-‘ during the year.

During this period Adani Power also invested in new technologies for cleaner and higher capacity coal-fired power plants. Total electricity demand grew by 7.5% to 1,626 billion units, while peak electricity demand in the country reached a record high of 243.27 GW in September 2023.