Lok Sabha Question No. 714 (UNSTARRED), answered on 2025-12-04
Subject: Telangana Super Thermal Power Project
Ministry: POWER
Asked by: Shri Vamsi Krishna Gaddam

## GOVERNMENT OF INDIA MINISTRY OF POWER

## LOK SABHA UNSTARRED QUESTION NO.714 ANSWERED ON 04.12.2025

## TELANGANA SUPER THERMAL POWER PROJECT

714.   SHRI VAMSI KRISHNA GADDAM:

Will the Minister of POWER be pleased to state:

- (a)  the  details  of  the  Rs.  29,344.85  crore  investment  approved  by  the  NTPC  Board  in November 2024 for the Telangana Super Thermal Power Project Phase-II (3 × 800 MW) at Ramagundam in the Peddapalli district;
- (b) the timeline set by the Union Government for the construction, commencement and commissioning of three 800 MW units under Phase-II;
- (c) the employment  generation  plan  for  residents of the Peddapalli  Lok  Sabha Constituency during the construction and operational phases of this project;
- (d)  the  coal  sourcing  strategy  for  the  additional  2400  MW  capacity  particularly  the percentage allocation from mines in the Peddapalli district; and

(e) the measures taken by the Union Government to ensure project viability despite power cost concerns raised during negotiations with the State Government of Telangana? A N S W E R

## THE MINISTER OF STATE IN THE MINISTRY OF POWER

(SHRI SHRIPAD NAIK)

- (a) : NTPC Ltd. is a Maharatna CPSE under administrative control of Ministry of Power, Government of India and its Board has approved investment of Rs. 29,344.85 Crore in November, 2024 for Telangana Super Thermal Power Project Phase-II (3 x 800 MW) at Ramagundam  in  the Peddapalli-district of Telangana. The details of approved investment are given at Annexure.
- (b): NTPC Ltd. has set the timeline i.e. sixty-four  (64)  months  for  the  construction, commencement, and commissioning of Phase-II (3 x 800 MW) from the award of Main Plant package. Main Plant award is subject to signing of Power Purchase Agreement (PPA) by beneficiaries. NTPC Ltd. is continuously pursuing with Government of Telangana along with other State Governments for signing of Power Purchase Agreements.
- (c): After award of the contract, the contractor will engage unskilled and semi-skilled manpower for construction activities like civil works, material handling, housekeeping and other construction-related activities by giving preference to local residents. NTPCRamagundam  and  Telangana  has  also  initiated  skill  development  under  internship programmes to improve the employability of local candidates for project-related roles.

In the operational phase, indirect employment opportunities are expected to be generated  for  local  residents  through  outsourced  services  in  areas  such  as  plant maintenance,  township  operations,  transportation,  housekeeping,  and  other  support services with continued preference for local engagement.

NTPC-Ramagundam and Telangana projects remain  committed  to  support  local employment and contribute to the socio-economic development of the Peddapalli region.

(d) to (e):  The Standing Linkage Committee (Long-Term) [SLC (LT)] of the Ministry of Coal, Government of India, has recommended the grant of long-term coal linkage from Singareni Collieries Company Limited (SCCL) to NTPC Ltd. for the additional 2400 MW capacity of Telangana Super Thermal Power Project (STPP) Stage-II, consisting of 3 × 800 MW units, under Para B (i) of the SHAKTI Policy.

However,  Andhra  Pradesh  DISCOMs  had  expressed  concerns  regarding  the viability of the indicative Energy Charge Rate (ECR) primarily due to the higher cost of coal  sourced  from  SCCL.  The  issue  was  again  taken  up  with  SCCL  and  SCCL  has categorically assured coal supply to Telangana Super Thermal Power Project Phase-II at price matching the landed cost of South-Eastern Coalfields Ltd. (SECL), a subsidiary of Coal India Ltd. (CIL).  This assurance fully addresses the apprehensions earlier raised by AP DISCOMs regarding fuel cost and projected variable charges.  With coal pricing now aligned to SECL benchmarks and the exemption from Flue Gas Desulphurisation (FGD) requirement, the overall tariff for Telangana Super Thermal Power Project PhaseII has become significantly more competitive.  Based on this development, NTPC Ltd. is once again taking up with various DISCOMs for PPA signing.

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ANNEXURE

## ANNEXURE REFERRED IN REPLY TO PART (a) OF UNSTARRED QUESTION NO. 714 ANSWERED IN THE LOK SABHA ON 04.12.2025

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## The Details of Approved Investment for Telangana Super Thermal Power Project PhaseII (3 x 800 MW) at Ramagundam in Peddapalli district of Telangana:

| Sl. No.   | Packages                                                                                                                                            | Cost including GST ( Rs. in Crore)   |
|-----------|-----------------------------------------------------------------------------------------------------------------------------------------------------|--------------------------------------|
| 1         | Boiler Turbine Generator (BTG) Package with Air Cooled Condenser                                                                                    | 15,992.20                            |
| 2         | Balance of Plant (BOP) Package                                                                                                                      | 7,247.55                             |
| 3         | Railway Siding                                                                                                                                      | 771.84                               |
| 4         | Land                                                                                                                                                | 20.00                                |
| 5         | Ash Dyke                                                                                                                                            | 150.00                               |
| 6         | Infrastructure                                                                                                                                      | 265.00                               |
| 7         | Miscellaneous- Advance Expenditure & site enabling work, Corporate Social Responsibility (CSR)/ Community Development (CD) work, Green Belt & Proof | 157.71                               |
| 8         | Checking Contingency                                                                                                                                | 245.84                               |
| 9         | Project Management Cost                                                                                                                             | 869.76                               |
| 10        | Pre-Commissioning                                                                                                                                   | 596.40                               |
| 11        | Interest During Construction & Financing Charges                                                                                                    | 3,028.54                             |
|           | Total Project Cost                                                                                                                                  | 29,344.85                            |

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