NLC India ready to invest ₹10,000 crore in solar power projects in Telangana: Kishan Reddy

Public sector enterprise NLC India Ltd. has expressed its readiness to invest ₹10,000 crore in solar power projects in Telangana. A formal request has been made to the State government to allocate land and facilitate project execution, announced Union Minister for Coal and Mines G. Kishan Reddy here on Friday.

Addressing a press conference, the Minister said Telangana has also received approval for 450MW of decentralised solar power plants, along with a sanction for 40,000 rooftop solar units, of which 20,000 units will be installed in the first phase by the Central government.

India is currently witnessing record levels of electricity generation, with thermal power stations contributing 74% of the total 500GW output. Coal reserves sufficient for 22 days are available with power companies and generation units, he said.

Regarding thermal power in the state, Mr. Reddy noted that the second phase of the 3×800MW units at NTPC Ramagundam is under way. The first phase, comprising a 4,000MW thermal power project built at a cost of ₹12,000 crore, was inaugurated by Prime Minister Narendra Modi in 2023.

Approximately 80% of the power generated in the second phase will be allocated to Telangana. However, the State government has agreed to purchase only one-third of the total output. A request has been made for the government to procure the entire power generated by NTPC. The power sector giant has completed the construction of 100MW floating solar plants, with an additional 56MW under development. Work is also progressing rapidly on a 121MW solar power plant in Ramagundam, he said..

The Minister highlighted that electricity demand in Telangana is growing at 9.8% annually, and is projected to reach 33,773MW by 2030. The Centre remains committed to ensuring uninterrupted power supply across the country. In March, Telangana recorded a peak demand of 17,100MW, and the State government must take proactive steps to meet this growing requirement, he added.

However, power distribution companies and generation units in the State are facing severe financial distress, as the government owes ₹30,000 crore to Discoms (power distribution companies). The State government also owes ₹42,000 crore to Singareni Collieries Company Limited (SCCL).

Mr. Reddy attributed this financial crisis to mismanagement by both the previous BRS regime and current Congress government, and emphasised that justice must be done to Singareni workers and their families by clearing these dues and implementing a clear action plan.