DVC Plans Rs 660 Billion Expansion And Coal Self-Reliance

26 Nov 2025 CW Team

Speaking at the Merchants’ Chamber of Commerce and Industry (MCCI) on Friday, DVC Chairman S Suresh Kumar said the corporation aims to produce around 50 million tonnes of coal annually from its captive blocks over the next three years. This would not only cover its current annual requirement of 24 million tonnes but also leave adequate headroom for rising demand as thermal capacity expands.

Kumar also raised concerns over the quality of coal supplied by state-owned firms, emphasising that greater control over sourcing would enhance efficiency in power generation. “Once our captive mines ramp up production, we will not need to rely on Coal India for coal supplies,” he said.

Detailing DVC’s growth strategy, Kumar said the corporation is preparing for large-scale capital expenditure to reinforce its generation and distribution infrastructure. The proposed Rs 660 billion outlay will prioritise expanding thermal power capacity, developing solar installations and battery energy storage systems, and modernising the distribution network using artificial intelligence and machine-learning technologies.

DVC, which has historically played a central role in shaping the industrial ecosystem of the Damodar Valley region, is now pushing for technology-driven upgrades to meet future demand more reliably. The utility supplies electricity to West Bengal and Jharkhand and is gearing up for increased load as industrial activity in the region rises.

Kumar added that scaling captive coal production and deploying new-age grid technologies will bolster energy security for the region while supporting DVC’s long-term growth ambitions.

The Damodar Valley Corporation (DVC) is preparing a major expansion and modernisation drive with an estimated investment of around Rs 660 billion, while also targeting complete self-reliance in coal supply within the next three years. The corporation expects production from its captive mines to be sufficient to meet its entire coal requirement, sharply reducing dependence on Coal India and its subsidiaries. Speaking at the Merchants’ Chamber of Commerce and Industry (MCCI) on Friday, DVC Chairman S Suresh Kumar said the corporation aims to produce around 50 million tonnes of coal annually from its captive blocks over the next three years. This would not only cover its current annual requirement of 24 million tonnes but also leave adequate headroom for rising demand as thermal capacity expands. Kumar also raised concerns over the quality of coal supplied by state-owned firms, emphasising that greater control over sourcing would enhance efficiency in power generation. “Once our captive mines ramp up production, we will not need to rely on Coal India for coal supplies,” he said. Detailing DVC’s growth strategy, Kumar said the corporation is preparing for large-scale capital expenditure to reinforce its generation and distribution infrastructure. The proposed Rs 660 billion outlay will prioritise expanding thermal power capacity, developing solar installations and battery energy storage systems, and modernising the distribution network using artificial intelligence and machine-learning technologies. DVC, which has historically played a central role in shaping the industrial ecosystem of the Damodar Valley region, is now pushing for technology-driven upgrades to meet future demand more reliably. The utility supplies electricity to West Bengal and Jharkhand and is gearing up for increased load as industrial activity in the region rises. Kumar added that scaling captive coal production and deploying new-age grid technologies will bolster energy security for the region while supporting DVC’s long-term growth ambitions.

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