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23 Mar 2026

India orders Tata Power's 4-GW Gujarat coal plant to run full-tilt in summer

23 Mar 2026   

March 23 - India has directed Tata Power's 4-gigawatt imported-coal plant in the western state ​of Gujarat to run at full capacity from April ‌1 to June 30, citing higher summer demand, per a government order seen.

To ensure adequate power availability, ​generation from imported coal-based plants needs ⁠to be increased, the order said.

The ​government may extend the full-capacity mandate to other imported ​coal-based plants between April and June if required.

The directive comes as India anticipates record peak power demand ​of around 270 gigawatts in the coming ​months, up from about 242 GW in 2025–26, and ‌moves to ⁠boost output from imported-coal plants to avoid shortages.

It also follows the Gujarat state government's recent approval of a revised power ​purchase arrangement ​with Tata ⁠Power, clearing the way for the resumption of long-term supply ​from the plant.

The plant has been largely idle ​for ⁠the past six months due to high imported-coal costs and the absence of a power ⁠supply ​agreement.

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