Vedanta Power Bags 500 MW PPA from Tamil Nadu DISCOM in Record Tender Win..
Varahi media.com online news,New Delhi, November 6, 2025:Vedanta Limited’s power division has secured a 500 MW Power Purchase Agreement (PPA) with Tamil Nadu Power Distribution
Varahi media.com online news,New Delhi, November 6, 2025:Vedanta Limited’s power division has secured a 500 MW Power Purchase Agreement (PPA) with Tamil Nadu Power Distribution Corporation Limited (TNPDCL), clinching the largest share in a fiercely contested 1,580 MW tender and reinforcing its stature as a cornerstone of India’s baseload energy infrastructure.
The five-year supply deal, locked in at a competitive tariff of ~₹5.38/kWh, will see Meenakshi Energy Limited (MEL) deliver 300 MW from its Andhra Pradesh plant and Vedanta Limited Chhattisgarh Thermal Power Plant (VLCTPP) contribute 200 MW from Chhattisgarh. The contract runs from February 1, 2026, to January 31, 2031.
Both facilities—acquired as distressed or incomplete assets—were revived and operationalized by Vedanta at breakneck speed. MEL, a 1,000 MW (2×150 MW + 2×350 MW) plant in Tirupati district, returned to full capacity within two years of its 2023 acquisition. VLCTPP, a 1,200 MW (2×600 MW) coal-based project in Sakti district, commissioned its first 600 MW unit in August 2025—just three years after being bought as a stalled site.
Rajinder Singh Ahuja, CEO – Power, Vedanta Limited, said: “This PPA is a vote of confidence in our ability to turn around complex assets and deliver reliable power at scale. With thermal energy anchoring India’s grid stability, this win strengthens revenue streams and sets the stage for our upcoming Vedanta Power demerger.”
Vedanta Power oversees nearly 12 GW of thermal capacity nationwide, including 4,780 MW of merchant IPP assets across Punjab (Talwandi Sabo), Andhra Pradesh (MEL), Chhattisgarh (VLCTPP), and Odisha (Jharsuguda). These plants supply discoms, utilities, and industrial clusters, playing a pivotal role in energy security.
The deal underscores Vedanta’s growing dominance in the IPP space, blending operational excellence, fuel security, and strategic asset revival to power India’s industrial and economic growth.
About Author
