Major Energy Partnership Between Telangana and Rajasthan
In a significant development, Singareni Collieries Company Limited (SCCL) and Rajasthan’s power utility have signed a Memorandum of Understanding (MoU) to establish 3,100 MW power plants in Rajasthan. The agreement includes the construction of 1,600 MW thermal and 1,500 MW solar power plants through a joint venture.
MoU Signed in Presence of Key Leaders
The MoU was formalized on Monday in Rajasthan in the presence of:
- Rajasthan Chief Minister Bhajan Lal Sharma
- Telangana Deputy Chief Minister and Energy Minister Mallu Bhatti Vikramarka
- Rajasthan Energy Minister Heralal Nagar
Investment and Profit-Sharing Agreement
The financial framework of the joint venture stipulates that SCCL will hold a 74% stake, while Rajasthan Rajya Vidyut Utpadan Nigam Limited (RRVUNL) will hold 26%.
- Telangana will provide financial capital for its share.
- Rajasthan will contribute land and necessary infrastructure.
- The Rajasthan Energy Department will oversee the signing of power purchase agreements (PPAs) to streamline operations.
Strategic Expansion of SCCL
With a history spanning 136 years, SCCL is expanding beyond Telangana. Deputy CM Bhatti Vikramarka called the partnership historic, emphasizing that it strategically leverages Telangana’s coal reserves and thermal expertise alongside Rajasthan’s solar energy potential.
Boost to India’s Energy Security
Leaders from both states emphasized that the project would contribute to India’s energy security, addressing growing power demands. Rajasthan CM Bhajan Lal Sharma noted that this is the first agreement Rajasthan has signed with SCCL, as previous collaborations were only with Coal India.
Upcoming SCCL Energy Projects
SCCL is already investing in thermal and solar power projects:
- Currently operates 245.5 MW solar power plants, aiming to reach 450 MW by 2026.
- Establishing a 1,600 MW thermal plant in Odisha’s Naini coal block, with coal production set to begin in 30 days.
Officials Present at the Signing
The MoU signing was attended by senior officials including:
- Alok, Additional Chief Secretary (Rajasthan Energy)
- Sandeep Kumar Sultania, Telangana Energy Principal Secretary
- Bhaskar, CMD of Transco
- N Balaram, SCCL Chief Manager
- D Satyanarayana Rao, SCCL Director
This landmark agreement strengthens the Telangana-Rajasthan energy partnership, paving the way for a sustainable power future in India.
