After over three decades, Punjab is set to significantly boost its public sector thermal power capacity with the Centre’s approval for setting up three 800 MW supercritical thermal power units. Two of these units will replace the dismantled 210 MW units at the Ropar thermal plant, while the third will be developed by a private entity at a yet-to-be-decided location. The move marks the state’s most significant public sector power investment since the Lehra Mohabbat plant, which began operations in 1997.

Currently, Punjab has 2,300 MW of public sector power capacity and 3,380 MW under private players. With the addition of 1,600 MW, the public sector’s capacity will nearly match that of the private sector. This expansion is vital as the state’s peak power demand during the paddy season is projected to exceed 17,000 MW, while its total availability, including grid drawl, stands at 16,800 MW.

The Centre had earlier resisted plants far from coal mines due to transportation costs, but Punjab successfully argued that its Ropar site has existing infrastructure and under-utilised coal mines, leading to central approval. The first Ropar unit is expected in four to five years.