Oman-based Tanweer Infrastructure, operating one of the largest independent power plants in Andhra Pradesh, is set to enter into a contract with the state government to dedicate a unit for this purpose. This unit is one of the four units, and the rest are used to supply power to Telangana and Bangladesh.

An eight-year contract of providing 570 MW to Telangana lapsed in March, 2024. The opportunity is now being tapped by Andhra Pradesh.

Sembcorp Energy India (SEIL) operates two supercritical coal-fired plants totalling 2.6 GW. It has four supercritical power generation units (660 MW each) from Nellore, supplying power to Andhra Pradesh, Telangana and Bangladesh through long-term power purchase agreements (PPA). It also has short-term power sales arrangements with other distribution utilities (discoms).

In the second half of 2022, Singapore-headquartered Sembcorp Industries' wholly-owned subsidiary Sembcorp Utilities had entered into a share purchase agreement to sell 100 percent of the shares of SEIL to Tanweer Infrastructure. With the Rs 11,700 crore deal, approx. Singapore USD 2.1 billion Tanweer Infrastructure became the sole shareholder of SEIL.

The company has been maximising its domestic coal supply under various agreements entered with Coal India. In 2018, SEIL had won tender, floated by the Bangladesh Power Development Board to supply 250 MW power to Bangladesh over a 15-year period.