The Uttar Pradesh cabinet has given its approval for the expansion of the Meja Super Thermal Power Project in Prayagraj. The project will see the addition of three new power generation units, each with a capacity of 800 megawatts (MW), bringing the total proposed new capacity to 2,400 MW.
Joint Venture and Investment
The expansion will be carried out through a 50:50 joint venture between the Uttar Pradesh government and NTPC. The estimated investment for the project stands at around Rs 38,157 crore. State Energy Minister Arvind Kumar Sharma announced that this decision follows a revision of the original plan that was formulated during the UP Global Investors Summit 2023.
Sharma explained, “The state government had initially signed a memorandum of understanding (MoU) with NTPC for setting up two units of 660 MW each at Meja. However, during the planning and land assessment stage, it was determined that the available land and infrastructure could support a larger and more cost-efficient project.”
Revised Proposal
The proposal was subsequently revised to establish three units of 800 MW each instead of the originally planned two units of 660 MW. The revised proposal received cabinet approval on Monday, paving the way for an additional 2,400 MW generation capacity in the state. The minister stated that the first unit is targeted to be commissioned within five years, while the second and third units are expected to become operational within 69 months and 78 months, respectively.
Cost Efficiency and Tariff
Sharma noted that Meja already has operational power generation units under the joint venture with NTPC, and the electricity produced there has remained comparatively cost-efficient. According to the state government, the levelised tariff for the new project is estimated at around Rs 6.64 per unit at current prices and could reduce to approximately Rs 6.20 per unit after completion. The water source for the Meja Super Thermal Power Project will be drawn from the Ganga river.
Additional Cabinet Decision: Mirzapur Pooling Substation
In a separate decision, the cabinet approved the construction of the 765/400 kV (4×1500 MVA) Mirzapur pooling substation along with associated transmission lines. The transmission project is estimated to cost Rs 2,799.47 crore, including Rs 1,315.91 crore for substation and bay construction and Rs 1,483.56 crore for transmission lines. A pooling substation is a central facility where electricity from multiple generation projects, such as thermal plants, solar parks, and pumped storage projects, is aggregated or collected and transmitted to the main power grid.
