Adani Power Receives LoA for 1,600 MW Thermal Power from MPPMCL
Adani Power has secured a 1,600 MW award from MP Power Management Company under a tender that included India’s first greenshoe option in thermal power. The two 800 MW units will be commissioned within 5 years with an investment of about INR 21,000 crore.
September 11, 2025. By Mrinmoy Dey
The company received a Letter of Award (LoA) for an additional 800 MW capacity under greenshoe option, along with the 800 MW capacity it won in the bidding process earlier. This is the fifth major power supply order received by the company in the last 12 months, taking the total awarded capacity to 7,200 MW, the company said in a statement.
This additional capacity of 800 MW awarded is at the same tariff of INR 5.838/kWh applicable to the earlier awarded 800 MW capacity. Accordingly, APL will supply power from a new 1,600 MW (800MW X 2) Ultra-supercritical thermal power unit, to be set up under the design, build, finance, own, and operate (DBFOO) model, in Anuppur district of Madhya Pradesh.
Both the units will be commissioned within 60 months of the appointed date. The company will invest around INR 21,000 crore towards setting up the plant and related infrastructure.
This development marks a first-of-its-kind adoption of the greenshoe option in a thermal power tender in India. This innovative inclusion of a greenshoe mechanism in coal-based power procurement will help Madhya Pradesh in meeting its ever-growing electricity demand owing to increased industrialisation and urbanisation, enhancing energy security for the state.
“We are delighted that Adani Power has not only secured the initial 800 MW project in Madhya Pradesh but has also been awarded an additional 800 MW under the greenshoe option. This reinforces our commitment to providing reliable, affordable, and sustainable power to the state and its people. The project further strengthens our long-term partnership with Madhya Pradesh and highlights our dedication to supporting India's energy security and economic growth,” stated S.B. Khyalia, Chief Executive Officer of Adani Power.
The coal linkage for the power plant has been allocated under the SHAKTI Policy of Government of India. The company expects to execute the Power Supply Agreement (PSA) in due course with the State Discom.
In September 2024, it, along with Adani Green Energy, received the Lol for a composite 6,600 MW (5,000 MW solar and 1,600 MW thermal) power supply order from Maharashtra state. In May 2025, it received the LoA from Uttar Pradesh government for supply of 1,600 MW power from a greenfield plant in the state. In August 2025, the company received the LoA from Bihar government for supply of 2,400 MW of power from a new power plant to be set up in the state. Last month, it received the LoA from MP for 800MW, and the awarded capacity has now increased to 1,600MW following the exercise of greenshoe option by MPPMCL.
Adani Power has a current operating capacity is 18.15 GW from 12 thermal power plants (TPP) and is aiming to achieve overall generation capacity of 41.87 GW by 2031-32.
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