The Telangana Power Generation Corporation Limited (TGPGCL) has appointed Delhi-based consultancy firm Desein Private Limited to prepare a pre-feasibility report for setting up a new thermal power plant at the Kothagudem Thermal Power Station (KTPS) in Paloncha.

The proposed project will have a capacity of either 2x800 MW or 1x800 MW and aims to replace the decommissioned KTPS A, B, and C units. The decision follows sustained demands from public representatives, retired engineers, and local residents for a new power project to restore the region’s generation capacity.

In 2020, TGPGCL, acting on the directives of the Union Ministry of Environment, decommissioned eight KTPS units built between 1965 and 1978. The retired units, with a combined capacity of 720 MW, were phased out due to technical limitations, financial unviability, and environmental concerns.

The pre-feasibility report will be prepared in accordance with the guidelines of the Central Electricity Authority (CEA) under the Ministry of Power, and the Ministry of Environment, Forest and Climate Change (MoEFCC), particularly concerning environmental appraisal procedures.

The study will cover key aspects such as site evaluation, fuel and water supply, logistics, cost estimation, financial analysis, and project implementation strategy. TGPGCL has sanctioned Rs 475,000 for preparing the report.

Jammula Sitarama Reddy, a retired KTPS foreman and founder of the Nutana Vidyut Kendra Sadhana Committee, welcomed the move, highlighting that all essential resources—land, water, and coal—are already available.

“About 520 acres of land within the KTPS premises is adequate for establishing the new plant. The Kinnerasani reservoir can meet water needs, while nearby coal mines can ensure a stable fuel supply. The State government should take a positive decision to set up this power plant for Kothagudem’s overall growth,” he said.