NTPC Seoni power station
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NTPC Seoni power station is an operating power station of at least 600-megawatts (MW) in Barela and Gorakhpur, Ghansore, Seoni, Madhya Pradesh, India with multiple units, some of which are not currently operating. It is also known as Jhabua Power Seoni power station.
Table 1: Project-level location details
|Plant name||Location||Coordinates (WGS 84)|
|NTPC Seoni power station||Barela and Gorakhpur, Ghansore, Seoni, Madhya Pradesh, India||22.735479, 79.912341 (exact)|
The map below shows the exact location of the power station.
Unit-level coordinates (WGS 84):
- Phase 2, Phase 1: 22.735479, 79.912341
Table 2: Unit-level details
|Unit name||Status||Fuel(s)||Capacity (MW)||Technology||Start year||Retired year|
|Phase 2||permitted||coal - unknown||600||subcritical||–||–|
|Phase 1||operating||coal - unknown||600||subcritical||2016||–|
Table 3: Unit-level ownership and operator details
|Phase 2||Jhabua Power Ltd (JPL) [100.0%]|
|Phase 1||Jhabua Power Ltd (JPL) [100.0%]|
Project-level coal details
- Coal source(s): SECL/MCL
- Permit(s): August 21, 2014 – Environmental Clearance; Terms of Reference: 2010-02-11; Environmental Clearance extension: 2016-02-15; Environmental Clearance extension: 2021
In 2012 it was reported that construction of unit 1 was facing delays due to opposition from local residents "right from the beginning." The project had resistance from farmers over land acquisition, who have alleged inadequate compensation and high handedness by the plant authorities, leading to protests.
According to the EIA for phase II in May 2013, Unit 1 was still under construction.
Unit 1 was commissioned in March 2016.
Phase 2 of the project is a 600 MW supercritical unit. The sponsor was soliciting bids for this phase in February 2012.
As of May 2020, there is no estimated date for completion of phase II, and it is not listed as under construction.
In May 2021, the project's environmental clearance was extended to August 2024.
The March 2023 Central Electricity Authority's Broad Status Report did not list the 600 MW expansion unit as under construction. No updates to the expansion's progress were found elsewhere in May 2023, but the expansion was still indicated by Jhabua Power Limited as "under implementation."
Planet imagery from October 2023 did not appear to show that construction on the expansion unit had begun.
Phase 1: In January 2010, a financing agreement for Phase I was closed. Axis Bank, Bank of India, State Bank of India, Bank of India, UCO Bank, Life Insurance Corp of India, Corporation Bank, Punjab National Bank, United Bank of India, and Oriental Bank of Commerce agreed to provide US$466.5 million in loans.
Ownership & insolvency
The original power station was sponsored by Jhabua Power of Avantha Power and Infrastructure. In July 2015, it was reported that Avantha was burdened with debt and looking to sell assets to raise cash. The private-equity arm of the Industrial Credit and Investment Corporation of India Bank, along with Tata Power, were in advanced talks to acquire phase I (600 MW) and phase II (600 MW) of Avantha's Seoni project.
However, talks for a third party to acquire Avantha's debt fell through. In November 2018, Avantha offered to pay Rs 24.30 billion to lenders to escape insolvency proceedings for its Seoni plant. The plant was being put up for sale. The plant is one of the country's 34 stressed, non-performing power assets.
Insolvency documents were available on Avantha power's website.
In January 2020, NTPC outbid the Adani Group for Avantha Group’s 600 MW Jhabua plant, with a Rs 1,900-crore offer. Avantha Group owes more than Rs 5,000 crore to lenders, and is undergoing bankruptcy proceedings. Avantha Group could recover 38% of their loans if they accept the NTPC offer.
In August 2021, lenders to the Avantha Group came to an agreement with the state-owned National Thermal Power Corporation (NTPC) to complete the sale of the 600 MW asset, more than two years after the case was taken to bankruptcy courts. One source said: “We have come to an agreement whereby NTPC will invest Rs 300 crore cash and will also get a Rs 600-crore equity stake. Banks have agreed to take the remaining 50% equity stake for Rs 600 crore which will give us future upside and another Rs 300 crore on deferred payments from the monthly Ebitda generation of the company, which is presently at Rs 25 crore per month."
In July 2022, after a few setbacks, the National Company Law Appellate Tribunal (NCLAT) upheld the eligibility of NTPC Ltd. to submit a Resolution Plan for Jhabua Power Ltd, which would allow NTPC to complete the purchase.
In September 2022, Power Finance Corporation Limited (PFC) resolved the stressed project. PFC was the largest lender to the project, which also had REC, SBI, Axis Bank, Bank of India, LIC, PNB, UCO Bank and Union Bank of India among its lenders.
In a marquee deal, NTPC acquired 50% in Jhabua Power Limited (JPL), its first acquisition through the Corporate Insolvency Resolution Process (CIRP) initiated by the National Company Law Tribunal (NCLT). Among the various bidders in the fray for JPL, NTPC emerged as the highest bidder, reportedly with a bid of Rs 32 million per MW. NTPC offered 50% equity stake in JPL to the secured financial creditors and retained all management rights and control over the company. PFC is the largest lender to JPL. It was reported that "[g]iven NTPC’s vast experience in the thermal power sector, it is poised to operate the Seoni TPP in line with its high operational standards." Moreover, the power plant comes with long-term power purchase agreements with Madhya Pradesh and Kerala as well as fuel linkages with Coal India Limited.
Articles and Resources
- Jhabua Power Limited, "Notice inviting bids", Avanthi Power and Infrastructure website, accessed November 2011.
- Monthly Report on Broad Status of Thermal Power Projects in the Country, Central Electricity Authority, September 2012
- "Jhahuba Power Limited: Recent Activities," Avantha Power & Infrastructure, accessed November 2013
- "Fresh trouble at Jhabua Power Plant," TNN, Sep 27, 2012.
- Environmental Impact Assessment, May 30, 2013
- "Revised Cods for coal based thermal power plants as on 23.03.2015," India Ministry of Power, March 23, 2015
- "Supply of coal to Power Plants," India Ministry of Power, July 23, 2015
- "Monthly Report on Broad Status of Thermal Power Projects in the Country," Government of India Ministry of Power, March 2016
- Environmental clearance, India MoEF, Aug 21, 2014
- "ICICI fund said to be in talks to acquire Avantha Power unit," Live Mint, July 14, 2015
- Environmental clearance extension, India MoEF, Feb 15, 2016
- "Monthly Report on Broad Status of Thermal Power Projects in the Country," Government of India Ministry of Power, May 2020
- "MINUTES OF THE 11th MEETING OF THE RE-CONSTITUTED EXPERT APPRAISAL COMMITTEE (EAC) ON ENVIRONMENTAL IMPACT ASSESSMENT (EIA) OF THERMAL POWER PROJECTS HELD ON 28th MAY, 2021," India EAC, May 28, 2021
- "BROAD STATUS REPORT OF UNDER CONSTRUCTION THERMAL POWER PROJECTS (MARCH, 2023)," Government of India Ministry of Power, March 2023
- "Jhabua Power Limited (A Joint Venture of NTPC Limited)," JPL, Accessed: May 2023
- "Jhabua Power signed | News | IJGlobal". ijglobal.com. Retrieved 2020-10-19.
- "Avantha Holdings offers Rs 24.3 billion to save Jhabua power plant," BS, Nov 9, 2018
- "Stressed /Non-performing Assets in Electricity Sector," India Ministry of Power report page 15, March 2018
- Singh, Sarita C. (2020-01-07). "NTPC outbids Adani for Avantha's MP plant". The Economic Times. Retrieved 2020-01-11.
- "Avantha Power lenders ink Jhabua Plant deal with NTPC," The Economic Times, August 31, 2021
- "NCLAT Upholds Eligibility Of NTPC As A Resolution Applicant For Jhabua Power Ltd.," Live Law, July 6, 2022
- "NCLAT paves way for NTPC's Jhabua buy," Economic Times, July 6, 2022
- "PFC completes successful resolution of Jhabua Power Limited," PFC India, September 7, 2022
- "A Winning Deal: NTPC acquires Jhabua Power," Powerline, November 4, 2022
To access additional data, including an interactive map of coal-fired power stations, a downloadable dataset, and summary data, please visit the Global Coal Plant Tracker on the Global Energy Monitor website.