Singareni to Enter Power Sector in Odisha with Mega Investment

Coal major plans balanced mix of thermal and renewable projects worth ₹25,000 crore

Bhubaneswar: Telangana-based Singareni Collieries Company Ltd (SCCL) is preparing for a major expansion beyond coal mining, with a large foray into power generation and green energy in Odisha. The company is set to sign a Memorandum of Understanding (MoU) with the Industrial Promotion and Investment Corporation of Odisha (IPICOL) on December 18 for setting up power projects with a total capacity of 4,900 MW.

The proposed investment is estimated at about $2.76 billion, or nearly ₹25,000 crore. The move marks a significant shift for SCCL as it looks to diversify its operations and play a bigger role in India’s evolving energy sector.

Odisha has emerged as a key destination for large energy investments due to its rich coal reserves, availability of land, and growing focus on renewable energy. For SCCL, the state offers an opportunity to use locally available coal while also developing clean energy projects in suitable locations.

For Odisha, the agreement is expected to strengthen energy security, attract large-scale investment, and generate employment during both construction and operational phases.

Thermal Power to Anchor the Plan

A major part of SCCL’s proposal focuses on thermal power generation. The company plans to set up a 3×800 MW ultra super critical thermal power plant, with a total capacity of 2,400 MW. This plant will be located near the Naini coal block in Odisha.

The thermal project is designed as a captive power unit, meaning it will use coal produced from the nearby Naini block. This approach is expected to ensure steady fuel supply, lower transportation costs, and efficient power generation.

Green Energy Expansion Across the State

Alongside thermal power, SCCL is placing strong emphasis on renewable energy. The company has committed to developing 2,500 MW of green energy capacity across Odisha.

This renewable portfolio will include 1,000 MW of ground-mounted solar power projects and 500 MW of floating solar plants, which make use of water bodies to generate electricity. Another 500 MW will come from pumped storage power projects, which help store energy and support grid stability. In addition, SCCL plans to set up 500 MW of wind power capacity at suitable locations in the state.

This balanced energy mix reflects the company’s intention to align with national clean energy goals while continuing to utilise coal in a more efficient manner.

A Strategic Shift for Singareni

Traditionally known as a coal mining company operating mainly in Telangana, SCCL’s proposed projects in Odisha signal a clear shift in strategy. By entering both thermal and renewable power generation, the company aims to become a diversified energy player with a national presence.

Former SCCL Chairman and Managing Director N. Balram had earlier said the thermal power project would provide reliable and cost-effective energy by linking coal production directly to power generation. At the same time, the large renewable energy component highlights the company’s long-term commitment to sustainability.

Boost for Industry and Jobs

The ₹25,000 crore investment is expected to give a major push to Odisha’s industrial ecosystem. Apart from improving power availability, the projects are likely to create direct and indirect employment and support local businesses.

Once the MoU is signed, detailed project planning, approvals, and timelines are expected to follow, marking the beginning of one of the largest energy investments in the state in recent years.