New Delhi/Bhubaneswar: National Aluminium Company Limited (NALCO) and NLC India Ltd (NLCIL) on Wednesday signed a Joint Venture-cum-Shareholders’ Agreement (JVA) for the formation of a 50:50 Joint Venture Company (JVC) to develop a 4×270 MW (1,080 MW) Thermal Captive Power Plant (CPP) at Anugola in Odisha.
The agreement was executed in the presence of G Kishan Reddy, Union Minister of Coal and Mines in New Delhi.
Sanoj Kumar Jha, Additional Secretary, Ministry of Coal, and CMD-Addl. Charge, NLCIL, Brijendra Pratap Singh, CMD, NALCO, Vivek Kumar Bajpai, Joint Secretary, Ministry of Mines, Jagdish Arora, Director (Projects & Technical), Abhay Kumar Behuria, Director (Finance), NALCO, Prasanna Kumar Acharya, Director (Finance), NLCIL along with other senior officials from Ministry of Coal & Mines, NALCO and NLCIL were present on the occasion.
The JVC will be incorporated under the Companies Act, 2013, with its Registered Office at Chennai and Corporate Office at Bhubaneswar. NALCO and NLCIL each will hold 50% equity.
The JVC will enter into a 25-year Power Purchase Agreement with NALCO for 100% offtake of power under Section 62 of the Electricity Act, 2003, and a long-term Fuel Supply Agreement with NLCIL for coal at Coal India notified prices, NALCO said in a press release.
This agreement marks a significant milestone in the strategic partnership between the two Navratna Central Public Sector Enterprises (CPSEs), under the Ministry of Mines and Coal, Govt of India. It may be noted that this development follows the non-binding Memorandum of
Understanding (MoU) signed earlier between NALCO and NLCIL on February 14, 2026 at Chennai, which established the broad framework for collaboration in thermal and renewable energy project development, and long-term coal supply arrangements.
It may be mentioned that NALCO as a leading manufacturer of alumina and aluminium in the country is undertaking a 0.5 MTPA Aluminium Smelter expansion at Anugola, Odisha, with commissioning envisaged in 2030-31, which necessitates an additional 800 MW of assured captive power. To meet this requirement, the proposed JVC will develop a 4×270 MW brownfield thermal capacity addition within NALCO’s existing CPP premises at Anugola, in a phased manner. The Company will also pursue 200–250 MW of firm Renewable Energy (RE-RTC) in line with Renewable Consumption Obligation (RCO) norms, with NLCIL extending support through long-term Power Purchase Agreements (PPA) or Group Captive arrangements from its renewable energy portfolio.
NLCIL, a Navratna CPSE under the Ministry of Coal with over six decades of experience in lignite and coal mining and thermal/renewable power generation, brings proven project execution capability and assured long-term coal supply, including from its Machhakata coal mine in Odisha, located in proximity to the Anugola site.
