LUCKNOW — The Uttar Pradesh Cabinet, led by the state government, has officially approved an investment of ₹2,242.90 crore for the development of the Pashwara South coal block in Jharkhand. This strategic funding is dedicated to securing a consistent fuel supply for the Ghatampur thermal power project in Kanpur.

The project is managed by Neyveli Uttar Pradesh Power Limited (NUPPL), a joint venture between the Uttar Pradesh Rajya Vidyut Utpadan Nigam Limited (UPRVUNL) and Neyveli Lignite Corporation India Limited. Located in the Dumka district, the coal block is a critical component of the state's energy infrastructure, supporting three massive 660 MW power units.

Project Finance & Timeline

• Funding Structure: 70% debt (₹1,570.03 crore) and 30% equity.
• State Contribution: UPRVUNL to provide ₹329.71 crore as its 49% equity stake.
• Mining Status: Operations commenced in December 2025; coal extraction is scheduled for August 2026.
• Power Impact: Supplies the Ghatampur plant, which is currently expanding toward full operational capacity.

Energy Security

By securing direct access to coal reserves in Jharkhand, the Uttar Pradesh government aims to mitigate fuel supply risks and ensure the long-term stability of the state's power grid. This approval marks a major milestone in the coordination between state and central entities to meet the rising energy demands of northern India.