Nagpur: The state govt has approved the release of Rs39.20 crore as part of its equity contribution for the ongoing 2×660 MW supercritical thermal power project at Koradi Thermal Power Station, providing a fresh push to the ambitious energy project. The project, being executed by Maharashtra State Power Generation Company Limited (Mahagenco), received administrative approval in Dec 2023 with a total estimated cost of Rs 10,625 crore. As per the financial structure, 80% of the project cost (Rs8,500 crore) is being mobilised through loans from financial institutions such as PFC, REC and a consortium of banks, while the remaining 20% (Rs 2,125 crore) is to be infused by the state govt as equity in a phased manner.The Koradi thermal power plant expansion project is considered a key component of Maharashtra’s strategy to strengthen its base-load power capacity through high-efficiency supercritical technology. Once completed, the project is expected to significantly enhance electricity generation capacity in the Vidarbha region and support the state’s growing energy demand.The govt notification said that during the financial year 2025-26, expenditure on the project reached Rs1,723 crore, with Mahagenco contributing the majority share. However, against the govt’s committed portion, only Rs56 crore was provisioned in the budget for the year. Out of this allocation, the Finance Department has permitted utilisation of 70% of the earmarked funds, paving the way for the latest tranche of Rs39.20 crore to be released. The funds will be transferred directly to Mahagenco through the Pay and Accounts Office in Mumbai via cheque or electronic transfer. The govt has directed that the sanctioned amount be used strictly for the purpose it was approved for, under the designated budget head for capital investment in thermal power projects.The resolution was issued following concurrence from the Finance Department and has been uploaded on the official state govt portal.
