Adani Power puts 6,500 MW expansion plan on hold

Lack of clarity regarding coal supplies forced Adani Power to put its plans for capacity expansion of 6,500 megawatts on hold.

Nonetheless, it is confident of having 6,000 MW of operational assets as planned by March, CEO Ravi Sharma said.

According to Sharma, the company, which currently operates 3,300 MW, is waiting for the federal government to allocate coal to three of its planned projects.

State-run Coal India, which supplies coal to power companies and other users after approval from the federal government, is unable to meet its annual targeted growth in production, forcing power producers to look overseas.

As generation projects face a shortage of coal, pricing uncertainty is forcing companies to refrain from inviting bids for long-term power purchase contracts, Sharma added.