Vedanta, a subsidiary of Vedanta Resources has announced plans to lease out its two non-operational thermal power plants in Tamil Nadu. The company has invited expression of interest (EoI) from Indian and global partners for the leasing arrangement.
The first plant, located in Thoothukudi, has a capacity of 160 MW (2 x 80 MW), while the second, at Mettur Dam in Salem, has a capacity of 128 MW (4x30 MW + 1x8 MW). The Mettur plant has been closed since 2017 for business reasons, while the Thoothukudi plant was shut down in 2018 following a government order alongside the Sterlite plant. The total investment in both plants is estimated at Rs 1,000 crore, according to sources.
In its EoI document, Vedanta noted, "Electricity demand in Tamil Nadu increased by 6.2 per cent in 2024-25, and is expected to rise by another 10-15 per cent in the coming years." Vedanta Power is among India’s largest private power producers, with a total generation capacity of 4,780 MW.