Vedanta Secures 500 MW Thermal Power PPA from Tamil Nadu DISCOM at INR 5.38/kWh

Vedanta Ltd.’s power business has clinched a 500 MW Power Purchase Agreement (PPA) from Tamil Nadu Power Distribution Corporation Ltd. (TNPDCL), the largest share awarded in the state’s latest tender.

Under the deal, Meenakshi Energy Ltd. (MEL) will supply 300 MW, while Vedanta Ltd. Chhattisgarh Thermal Power Plant (VLCTPP) will provide 200 MW of power at a tariff of approximately INR 5.38/kWh for a five-year term (Feb 2026–Jan 2031).

With this win, Vedanta Power secured the highest allocation out of the 1,580 MW tendered, reinforcing its competitive edge in the Independent Power Producer (IPP) space.

Rajinder Singh Ahuja, CEO, Power, Vedanta Ltd., said, “Reliable baseload power is vital to India’s energy security, and thermal energy continues to play a key role in ensuring that stability. This win reflects Vedanta’s growing leadership in efficient and dependable power generation.”

Vedanta has rapidly revived both its 1,000 MW Meenakshi Energy plant in Andhra Pradesh and 1,200 MW Chhattisgarh Thermal Power Plant, expanding its operational IPP portfolio to nearly 5 GW out of a total 12 GW thermal capacity.

The company said the deal will enhance revenue visibility and support its proposed demerger of the power business under the Vedanta Power identity.