Indian power equipment firm Bharat Heavy Electricals (BHEL) began work this week on a 4 GW supercritical coal-fired power plant in Telangana state.

Once completed, the Rs204bn ($3.1bn) Yadadri project will feature five 800 MW units and will be owned by the Telangana State Power Generation Corporation (TSGENCO).  

BHEL, as the EPC contractor, will design, supply, build and commission the plant under the terms of its contract with TSGENCO. The first two units are planned to be completed within 36 months, with the third unit online within 48 months.

BHEL said the project is its single largest order to date and the highest-value order for India’s power sector.

The company added that it plans to execute the project on a fast-track basis.

BHEL, India’s largest power plant equipment manufacturer, has supplied equipment for 86 per cent of Telangana’s coal-fired power plants.

TSGENCO chair and managing director D Prabhakar Rao has said the Yadadri project will be crucial in Telangana’s aim to become a power surplus state. According to a July report from India’s Central Electricity Authority (CEA), the state is already well on its way to a 6.3 per cent surplus by the end of this year.