Babandh power station

From Global Energy Monitor

Babandh power station is a proposed 1320-megawatt (MW) power station in Odisha, India.


The is located in Kharagprasad village, Dhenkanal district.

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Lanco Babandh Power has proposed setting up a 2,640 MW (4 x 660 MW) coal-fired thermal power station at Khurunti village. The project would be implemented in two phases of 2 x 660 MW in each phase. Coal will be sourced from Mahanadi Coalfields and the captive coal mine at Rampia; and water from Brahmani river.[1]

As of 2014, units 1 and 2 are listed as under construction on the company's website.[2][3] In September 2014 Lanco was reportedly looking to sell the 1320 MW power station, due to company debt.[4]

The two units were expected to be completed in 2017,[5][6][7] later pushed to 2018-2019. Construction was reportedly held up "due to financial constraints",[8] with archival photos showing slow progress from 2013 to 2016 (more below).

In March 2017, the Broad Status Report stated: "Work almost held up due to financial constraint presently."[9]

According to the December 2017 Broad Status of Thermal Power Projects in the Country, "Work was held up due to financial constraints, now the work restarted."[10] However, the April 2018 Broad Status has no planned date for the power station, listing it as "stressed".[11]

As of April 2015 Phase II has yet to receive environmental clearance, and was likely abandoned. The project no longer appears on the Lanco Infrastructure website.

Slow construction progress for 3.5 years

As shown in the archival photos below, construction was virtually stalled from April 2013 to December 2016. For other examples of stalled projects, see Troubled Indian Coal Plant Construction Sites.

Babandh power station 4-16-13 (Google Earth)
Babandh power station 2-3-14 (Google Earth)
Babandh power station 2-23-15 (Google Earth)
Babandh power station 12-14-16 (Google Earth)


Lanco's proposal to build a power station in Dhenkanal district has been the subject of numerous protests as well as a lawsuit by local residents charging that the project would violate the Land Acquisition Act and the Tribes and other Traditional Forest Dwellers Act. The suit demands that the land acquired for the project be returned to the residents of the villages of Kharagprasad and Kurunti.[12]

Coal supply delayed

According to a September 2013 news report, the company had not yet entered into a fuel supply pact with Coal India.[13] In January 2013 it was reported that the central government was going to decide on the fate of the plant.[14]


China Development Bank gave US$200 million Buyers’ Credit for units 3 & 4 (1320 MW) of Lanco Amarkantak Thermal Power Project, the 1320 MW Babandh power station, and the 1320 MW Vidarbha thermal power station being developed by Lanco Group.[15]

Project Details

Sponsor: Lanco
Location: Kharagprasad village, Dhenkanal district, Odisha
Coordinates: 20.8264254, 85.2964783 (exact)[16]
Status: Phase I, Units 1 & 2: Shelved; Phase II, Units 1 & 2: Cancelled
Capacity: Phase I: 1320 MW; Phase II: 1320 MW
Type: Supercritical
Projected in service: 2018-2019 (Phase I)
Coal Type:
Coal Source: Mahanadi Coalfields Ltd & Captive Coal Mine at Rampia[2]
Estimated annual CO2:
Source of financing: China Development Bank
Permits and applications: Phase I, Units 1 and 2: Environmental Clearance, India MoEF, Feb 17, 2010

Articles and resources


  1. "Coal linkage panel allows Lanco Babandh to enter pact with CIL," Power projects, Sep 24, 2013.
  2. 2.0 2.1 Lanco, "Lanco Babandh Power Ltd ", Lanco website, accessed July 2014.
  3. Monthly Report on Broad Status of Thermal Power Projects in the Country, Central Electricity Authority, September 2012
  4. "Lanco Infra in talks to sell Rs 3500cr worth Babandh plant," NBC, Sep 2, 2014
  5. Annual report, Lanco, 2014
  6. "Supply of coal to Power Plants," India Ministry of Power, July 23, 2015
  7. "Monthly Report on Broad Status of Thermal Power Projects in the Country," Government of India Ministry of Power, March 2016
  8. “Broad Status of Thermal Power Projects in the Country,” India Ministry of Power, Sep 2017
  9. "Broad Status Report," India Central Electrical Authority, March 2017
  10. "Monthly Report on Broad Status of Thermal Power Projects in the Country," Government of India Ministry of Power, Dec 2017
  11. "Monthly Report on Broad Status of Thermal Power Projects in the Country," Government of India Ministry of Power, April 2018
  12. "Ranjit Nayak & others vs. State of Orissa & others," High Court of Orissa: Cuttack, W.P. (C) No. 27302/2011, accessed February 2012
  13. "Power plants like Lanco, DVC yet to sign FSA with Coal India," Economic Times, September 13, 2013
  14. "Centre to decide on Lanco’s Orissa project" DNA India, January 23, 2013.
  15. "Lanco Infratech to raise US$2 billion from Chinese banks and FIs for power projects," Lanco press release, Nov 26, 2012
  16. "MOEF Monitoring Report," MOEF, September 9, 2012

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