Essar Power commissions second unit of Vadinar P2 project

Essar Power today said it has commissioned the second unit of 225 MW of its 510 MW Vadinar Phase 2 project in Gujarat.

"Essar Power has commissioned the second of two 255 megawatt units at its Vadinar Phase 2 power generation project," the company said in a statement.

The coal-fired Vadinar P2 plant with a total capacity of 510 mw is now fully commissioned and will be providing power and process steam to Essar Oil's nearby oil refinery. The addition of coal-fired generation will significantly lower generation costs and result in improved refinery margins, Essar Energy chief executive Naresh Nayyar said. Power will also be sold to Essar Steel and into the merchant market, the company said.

Essar Power's installed generation capacity now stands at 3,310 MW, an increase of 1,710 MW over the past 12 months. Of this, 2,110 MW is captive capacity supplying power to Essar's refinery and steel plants, with revenues largely dependent on power plant availability rather than power generated, the release said.

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