The much-awaited 4,000 MW Yadadri Thermal Power Station (YTPS), belonging to Telangana power generation corporation (TS Genco) at Dameracherla in Nalgonda district, will likely be completed and come into full operation by June this year, state energy minister and deputy chief minister Mallu Bhatti Vikramarka said in a status report submitted in the state legislative assembly on Wednesday.
The Yadadri Thermal Power Station will be the largest thermal power project in India to be constructed at a single location under state government ownership, with an installed capacity of 4,000 MW, Vikramarka said.
The power plant consists of five units of 800 MW each, of which only the second unit was completed in last December and has been generating electricity on a commercial basis. “The first unit is expected to be operational by the end of this month. The remaining three units are projected to begin production sequentially by the end of April, May, and June,” the status report said.
Vikramarka said although construction of the power plant started in 2017 and was originally scheduled for completion by 2022, there were delays in obtaining environmental clearances.
“As soon as we came to power in December 2023, we conducted a public hearing through the local district collector to secure environmental clearances. Following this, we inaugurated Unit-2 in December 2024 and made power generation operational,” he said.
He also pointed out that there was no proper system in place for transporting coal to YTPS from Singareni Collieries. “We took initiative in getting the railway works expedited and successfully launched the coal supply,” he said.
The delay in the commencement of YTPS resulted in significant increase in the construction cost. Initially estimated at ₹29,900 crore, the project cost has now surged to ₹36,132 crore due to severe delays in execution,” the minister said.
“For the construction of thermal power projects, 80% of the estimated cost is secured through loans, while the remaining amount must be allocated as equity from the state budget. However, necessary funds were not allocated in the state budgets towards equity. This year, an amount of ₹7,180 crore has been proposed for the ongoing thermal power plants – Yadadri as well as Bhadradri power plants,” the power minister said.
