Yadadri Thermal Power Plant’s 800 MW Unit 5 has been synchronised with the grid, marking a major milestone for Telangana’s 4,000 MW power project as the State works to secure a long-term coal supply arrangement for the plant.
The unit was synchronised on the occasion of Dasara, according to a report by Telangana Today. The development adds another generating unit to the project, which has been associated with a Rs 20,400-crore order placed with Bharat Heavy Electricals Limited (BHEL).
The synchronisation comes as Coal India has agreed in principle to supply 50 lakh tonnes of coal annually to Yadadri from Odisha. However, the arrangement has not yet been formally concluded. The source mines and the date on which regular supplies will begin are still to be finalised.
Coal India’s proposed supply is linked to the availability of the required G-9 grade coal. Singareni Collieries Company Limited has informed Telangana GENCO that this grade is not being produced in its mines, prompting the State utility to pursue supplies from Coal India’s Mahanadi Coalfields in Odisha.
At present, limited quantities are being supplied to the plant from Singareni’s Naini mine in Odisha. Telangana Today reported that this interim arrangement cannot continue over the long term without a formal agreement. The plant currently has coal stock for about five days, according to the report.
Telangana GENCO CMD Harish and Coal India Director Nagya are scheduled to visit Delhi on Wednesday for discussions aimed at finalising the supply arrangement. The meeting is expected to address the source mines, the commencement date and the operational terms for the proposed annual supply.
The fuel arrangement is significant because thermal power generation depends on a consistent supply of coal that meets the plant’s technical specifications. Until a formal agreement is completed, the plant’s regular operations will continue against a backdrop of limited stock and dependence on interim supplies.
The development has also drawn political responses. BRS working president K T Rama Rao welcomed the synchronisation in a post on X and credited former Chief Minister K Chandrashekhar Rao’s administration with planning the project. He described Yadadri as a symbol of Telangana’s expanding generation capacity.
Rama Rao also stated that Telangana’s installed power capacity had increased from 7,778 MW in 2014 to nearly 20,000 MW over the following decade under the BRS government. That claim was included in his political response to the unit’s synchronisation.
The next immediate milestone is the scheduled Delhi discussions between Telangana GENCO and Coal India. The formal coal-supply agreement, including the source mines and start date, remains pending.
