Billionaire Gautam Adani secures contract worth $3 billion to construct power plant project in Bihar, India.
In a significant development for the Indian energy sector, Adani Power, a key ally of Prime Minister Narendra Modi, has announced plans to build a 2,400 MW ultra-supercritical coal-fired power plant in Bihar, India. The project, valued at $3 billion, is expected to boost the state's industrial growth and energy capacity.
The power plants will be located in the Pirpainti village of Bhagalpur district. The timeline for the project specifies that the first unit will be commissioned within 48 months (by 2029), with full plant completion within 60 months (by 2030).
The construction phase of the project is anticipated to create 10,000–12,000 jobs, providing significant short-term employment opportunities. Once operational, the plant will sustain approximately 3,000 permanent jobs.
Adani Power secured the project after offering the lowest electricity rate in a tightly contested bidding exercise. The company is expected to sign separate power supply agreements with Bihar's state-owned utilities soon.
The Adani Group, headquartered in Ahmedabad, India, has diverse interests in sectors such as airports, cement manufacturing, edible oils, energy, logistics, media, mining, ports, power, real estate, and more. However, it's important to note that the revival of investment plans following the U.S. probe last year has not been specifically attributed to Gautam Adani, the chairman of Adani Group, who is the second-wealthiest person in India with an estimated net worth of $60 billion.
The power plant project is being pursued ahead of state elections in Bihar, a region that holds the fourth-largest share of parliamentary seats. The outcome of these elections is crucial to the continuity of Prime Minister Modi's coalition government.
The use of ultra-supercritical technology in the power plants is expected to improve thermal efficiency and reduce carbon emissions compared to conventional coal plants, partially aligning with India’s energy and environmental goals. The combined capacity of these power plants will be 2,400 megawatts, which will supply 2,274 MW to Bihar's distribution companies.
This project is expected to strongly impact Bihar’s economy by increasing reliable power supply and creating numerous jobs during both construction and operation phases. The Adani Power thermal power plants project in Bihar is one of the largest private sector power investments in eastern India.
The Adani Group, with its business interests spanning finance, energy, and more, is set to sign power supply agreements with Bihar's state-owned utilities after securing the 2,400 MW ultra-supercritical coal-fired power plant project in Bihar. The project, valued at $3 billion, is expected to boost Bihar's economy by increasing reliable power supply and creating jobs during both construction and operation phases, marking a significant development for the state's political landscape given its importance in upcoming elections.
