Odisha approves Rs 4,708 crore pumped storage project in Kalahandi
The 600 MW Upper Indravati project at Ranibahal is expected to be commissioned by the 2030-31 financial year.
The Odisha Cabinet, chaired by Chief Minister Mohan Charan Majhi on Monday, approved the 600 MW Upper Indravati Pumped Storage Project at Ranibahal in Kalahandi district. According to Odisha Bytes, the state will invest a total of Rs 4,708.64 crore, which covers GST, land acquisition, forest clearances, consultancy, and interest during construction.
The Odisha Hydro Power Corporation (OHPC) will implement the project. Megha Engineering & Infrastructures Ltd (MEIL) has been chosen as the Engineering, Procurement and Construction (EPC) contractor for a bid price of Rs 3,372.88 crore, excluding GST.
The project will follow an 80:20 debt-equity structure. OHPC will provide 20 per cent equity from its internal reserves in phases, while the state government will provide the remaining 80 per cent through a phased loan with interest rates at par with the RBI repo rate.
Once operational, the facility is expected to generate about 1,040 million units (MU) of annual peak electricity. This will be balanced against an estimated annual consumption of 1,283 MU for off-peak pumping operations.
The facility is intended to act as a grid-scale energy storage system by absorbing surplus electricity during off-peak hours and supplying power during high demand. Chief Secretary Anu Garg told reporters that the project is targeted for commissioning by the 2030-31 financial year.