The Union Cabinet Committee of Economic Affairs (CCEA) has approved the Rs 22,000 crore two maiden thermal power generation units planned by Coal India Ltd (CIL) in collaboration with its subsidiaries.

These units, slated to come at pithead (in the vicinity of coal mines), are also part of the Centre's increased efforts to have more pithead units.

“CIL, the largest coal mining company in the world, will set up two pithead thermal power plants through its subsidiaries with a view to provide cheaper power to the country,” said the statement by the government.

Senior company officials said the project would require 7-9 years to commence operations as the land acquisition, and technology partnership will soon begin now.

Union Power Minister R K Singh said India would need 80 Gw of coal-based thermal power generation capacity to be built as against 27 Gw under construction. “Renewable energy capacity addition alone cannot help meet the rising electricity demand that has already peaked at an all-time high of 241 Gw in 2023,” Singh had said.