Adani Power Receives LoA From MSEDCL For 1,600 MW Long Term Power Supply
15th March 2026
Adani Power Ltd (APL), India`s largest private sector power generator, has said it has received a Letter of Award (LoA) from Maharashtra State Electricity Distribution Company Ltd (MSEDCL) for the supply of 1,600 MW of power from one of its upcoming ultra-supercritical thermal power projects (USCTPP)
The LoA follows Adani Power’s success in a highly competitive bidding process, where the company emerged as the lowest-tariff bidder, offering power at a combined tariff of Rs 5.30/kWh. The supply of power under the proposed 25-year Power Supply Agreement (PSA) is scheduled to commence from the financial year 2030-31
This achievement marks yet another PSA win for APL during a period of renewed surge of investments in the thermal power sector. Adani Power has established itself as a leading provider of new generation capacity, supporting the nation’s goal of adding 100 GW of thermal power capacity by the year 2032. During FY25-26, APL has won five long-term PSA bids with a combined capacity of 10,400 MW
Adani Power Ltd. has said, “With India’s power demand continuing to rise steadily, long-term and reliable capacity addition is critical to ensure energy security. This LoA from MSEDCL reflects the competitiveness of Adani Power’s cost structure, its ability to deliver dependable baseload power and its commitment to supporting India’s growing electricity needs through long-term partnerships"
With this development, Adani Power has now tied-up long-term PSAs of 13.3 GW out of its 23.8 GW under-implementation pipeline, marking a significant step towards its stated objective of securing almost its entire capacity under such contracts. More than 95% of Adani Power’s current operating capacity of 18.15 GW is now tied up under medium-to-long-term PSAs, while over 55% of its upcoming capacity of 23.8 GW is secured under 25-year PSAs, providing strong visibility and stability of volumes and revenue
The MSEDCL bid incorporates a pre-determined coal linkage, ensuring long-term fuel security and supporting reliable and cost-effective power supply
Adani Power is undertaking India’s largest private sector thermal power capex program, expanding its capacity from the current 18.15 GW to 41.87 GW by FY31-32, with investments of approximately Rs 2 lakh crore. These projects are aligned with India’s rapidly growing electricity demand, driven by economic expansion, urbanisation, industrial growth and increasing household electrification. During the project phase, they are expected to generate employment for tens of thousands of people and stimulate industrial demand across multiple sectors
Upcoming Power Plants
(Source: Adani Power's website, accessed 15-03-2026))
Singrauli Expansion, Madhya Pradesh: Capacity : 1,600 MW (2X800 MW)
Mahan Energen Limited (MEL), a subsidiary of Adani Power Limited (APL) is expanding its existing 1,200 MW (2x600 MW) power plant at Singrauli, Madhya Pradesh by addition of 1,600 MW (2X800 MW) under Phase-II. The expansion units are based on Ultra-supercritical technology. The power generated by the Phase-II plant will be supplied under a long term PPA for 1230 MW (Net) to Madhya Pradesh Power Management Company Ltd.
Other Expansion Projects
Our Area of Expertise section includes an interactive demo for preliminary assessment of two-part tariff for a coal-based power plant under different assumptions. Out of the nine user-interactive assumptions, the two most critical are Capital Cost (Rs crore / MW) and Coal Cost (Rs / tonne)
Readers can examine what combination of assumptions could lead to the combined tariff that Adani Power offered and won the bid