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

Vedanta Ltd.’s power division has secured a 500 MW Power Purchase Agreement (PPA) from the Tamil Nadu Power Distribution Corporation Ltd. (TNPDCL)—the largest allocation awarded in the state’s latest tender, reinforcing Vedanta’s growing dominance in India’s power sector.

Under the agreement, Meenakshi Energy Ltd. (MEL) will supply 300 MW, while the Vedanta Ltd. Chhattisgarh Thermal Power Plant (VLCTPP) will provide 200 MW at a tariff of Rs5.38 per kWh for a five-year term spanning February 2026 to January 2031.

With this achievement, Vedanta Power has emerged as the top bidder, securing the highest share out of the 1,580 MW total capacity tendered, further cementing its leadership position in the Independent Power Producer (IPP) segment.

Commenting on the milestone, Rajinder Singh Ahuja, CEO – Power, Vedanta Ltd., said, “Reliable baseload power is vital for India’s energy security, and thermal energy continues to play a key role in ensuring stability. This win underscores Vedanta’s operational excellence and commitment to efficient, dependable power generation.”

Vedanta has recently revived operations at both its 1,000 MW Meenakshi Energy Plant in Andhra Pradesh and the 1,200 MW Chhattisgarh Thermal Power Plant, expanding its operational IPP portfolio to nearly 5 GW within its total thermal capacity of 12 GW.

The company stated that this new PPA will enhance revenue visibility and support the planned demerger of its power business under the Vedanta Power identity—strengthening its position as a key player in India’s energy landscape.