GMDC, GUVNL Unite for Thermal and Lignite Power Projects in Gujarat

State-owned GMDC announced on Tuesday its collaboration with Gujarat Urja Vikas Nigam Ltd (GUVNL) to develop coal and lignite-based power stations in Gujarat. This partnership aims to enhance energy security through sustainable utilisation of coal and lignite, according to a statement from Gujarat Mineral Development Corporation (GMDC).

Representative image

Gujarat has seen a significant increase in power demand, growing at a compound annual growth rate (CAGR) of over 6% over the past five years. Peak demand, which was 24,544 MW in 2023-24, is projected to reach 36,000 MW by 2031-32, as per a report.

Energy Security for Vibrant Gujarat

The collaboration between GUVNL and GMDC focuses on replacing old generating units and adding new capacities. This initiative aims to ensure energy security for Vibrant Gujarat by developing coal and lignite-based power stations.

To meet the increasing power demand, GMDC is aggressively developing lignite mines in Gujarat. The PSU is also working on operationalising its lignite mines, which can support an additional 1,250 MW of lignite-based capacity.

Meeting Power Demand

This initiative aligns with the need to address the residual surge in power demand for load balancing and meeting late evening peak requirements. By developing these resources, GMDC aims to provide consumers with a reliable and competitive round-the-clock power supply.

"Realising the need to replace the fleet of old generating units, besides adding new capacities, the senior leadership of GUVNL and GMDC have collaborated for development of the coal-based and lignite-based power stations for energy security for Vibrant Gujarat," the statement said.

The partnership between GMDC and GUVNL is a strategic move to ensure that Gujarat's growing power needs are met sustainably. This collaboration will help maintain uninterrupted power supply in the state.

By focusing on sustainable coal and lignite utilisation, this initiative aims to strengthen energy security in Gujarat. The development of these power stations is crucial for meeting the state's future energy demands.

The current efforts by GMDC are part of a broader strategy to ensure that consumers in Gujarat have access to reliable and competitive power supplies. This will support the state's economic growth and development.

The collaboration between GMDC and GUVNL represents a significant step towards achieving energy security in Gujarat. By developing new power stations, they aim to meet the increasing demand for electricity in the state.

This partnership highlights the importance of sustainable energy solutions in addressing future power needs. It also underscores the commitment of both organisations to ensuring energy security for Vibrant Gujarat.