Durgapur Projects Ltd (DPL), a West Bengal State government undertaking, is planning to add to new power station to its existing system of six units.

The new thermal-based power unit would have a capacity of 210 MW or 250 MW. However, in view of the massive accumulated losses of DPL, the company might consider the option of setting up the plant on a Build-Own-Transfer basis. DPL has already given the mandate of preparing the detailed project report and the environmental impact assessment study to Development Consultants Ltd. A dialogue has also been initiated with the Air Force Station at Panagarh for the necessary clearances required for fixing the chimney height. DPL is reportedly examining the funding options.

DPL was set up during the 1960s to supply power to the Durgapur Industrial Area. DPL has six power units (2 x 30 MW, 3 x 77 MW, 1 x 110 MW) with a combined capacity of 401 MW. These thermal plants have a fuel requirement of 6,669 tonnes of coal per day. Surplus power, if any, is sold to the West Bengal State Electricity Board.

Besides power, DPL also manufactures low ash metallurgical (LAM) coke for which it has a capacity of 5 lakh tpa. It also produces 20,000 tonnes of crude tar and 90 million cubic metres of coke oven gas, annually.