Adani Power Signs 25-Year Power Supply Agreement With MSEDCL

Adani Power has signed a 25-year Power Supply Agreement with Maharashtra State Electricity Distribution Company Limited (MSEDCL) for supply of 1600 Megawatt (MW) on a long-term basis from a two-unit plant of 800 MW each to be established under Design, Build, Finance, Own & Operate (DBFOO) terms. The company said the arrangement covers base load thermal power delivered to meet distribution requirements in Maharashtra. The agreement specifies a long-term commercial framework and operational responsibilities under the DBFOO model.

The coal linkage for the proposed thermal plant has been allocated under the SHAKTI Policy of the Government of India, providing the fuel arrangement necessary for sustained operations. The allocation under the policy is understood to underpin the project economics and enable scheduled commissioning and fuel supply planning. The parties described the linkage as a key enabler for long-term power delivery.

The arrangement is intended to support the state distribution company's capacity planning and to provide a stable source of thermal generation over the contract term. Adani Power's execution under the DBFOO structure is expected to involve design, construction, financing and operation responsibilities, aligning asset ownership and operational control. The project is described as an ultra-supercritical thermal installation intended to deliver efficient base load power.

The 25-year term establishes a long horizon for power procurement and tariff stability, and it is presented as part of broader efforts to secure long-term capacity for the state. Both parties framed the agreement as a strategic supply partnership that addresses demand growth and operational certainty. The contract is to be implemented subject to applicable approvals and customary conditions.

Project proponents said it is expected to enhance grid reliability and support peak and off-peak requirements, while aligning with national objectives for energy security and supply planning. Implementation timelines will follow regulatory clearances and standard project milestones. The partnership is presented as a step towards strengthening the state's power infrastructure.

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