Budget proposes 800-MW power plant based on advanced ultra super critical tech

New Delhi: The Union Budget for FY25 proposed to set up an 800-MW advanced ultra super critical technology-based power plant through a joint venture between government-owned NTPC Ltd and Bharat Heavy Electricals Ltd, promoting indigenous technology with higher efficiency.

The government will provide the required fiscal support for the plant.

Development of indigenous capacity to produce high-grade steel and other advanced metallurgy materials for these plants will result in strong spin-off benefits for the economy, Finance Minister Nirmala Sitharaman said.



The move is likely to help with the expansion of thermal power plants and address the issues of equipment availability, according to industry experts.

India aims to add 85 GW of coal-based power plants by FY32, apart from augmenting renewable energy capacities, to meet its sharp rising electricity demand.


However, some of the recent thermal power engineering, procurement and construction tenders saw muted response owing to cost and equipment issues.

After consultation, the Central Electricity Authority had relaxed the pre-qualification requirements, allowing companies with experience in erection of ‘sub-critical’ units to participate in ‘supercritical’ projects to encourage competition.


The development of power plants, including a 2,400 MW project at Pirpainti, in Bihar will be taken up at a cost of Rs 21,400 crore.