Power Sector News Roundup for February 23, 2026

CEA panel finds 55% MTL flexible operation does not damage thermal units

A committee constituted by the Central Electricity Authority (CEA) found that operating thermal power plants at 55% minimum technical load (MTL) with conservative ramping rates does not result in significant damage to generating units. The report, based on meetings held between July and October 2025, noted NTPC’s reluctance to participate in mandated pilot projects for two-shift operation, delaying development of a compensation framework. GRID-INDIA reported that most inter-state generating stations and several state stations have technically achieved 55% MTL, though commercial and regulatory barriers persist. Analysis of Farakka Unit-2 and Jhajjar Unit-3 showed no evidence linking significant damage to 55% MTL operation, with about 70% of issues attributed to ageing, coal quality or operational disturbances. The committee recommended pilot studies on smaller and older 210 MW units and measures to achieve 40% MTL through retrofits, improved operational practices and updated technical specifications.

CAG audit flags operational gaps and revenue losses at NLC India

A performance audit by the Comptroller and Auditor General of India (CAG) identified operational, financial and compliance gaps at NLC India Limited’s lignite mines and thermal stations in Neyveli during 2017-18 to 2022-23. Land shortages left only 46.19 hectares available for active mining, causing a supply gap of 2.77 million tonnes and a potential revenue loss of Rs 338.62 crore, while extraction from overburden dump areas increased costs by Rs 364.80 crore. The audit reported environmental clearance lapses, overburden dump height violations, ageing equipment and delayed energy audits deferring potential annual savings of Rs 47.92 crore. Thermal station issues led to under-recovery of capacity charges of Rs 2,353.99 crore, generation loss of 1,594.77 million units and additional cost pressures including Rs 248.99 crore operation and maintenance expenditure above regulatory limits. CAG recommended faster land acquisition, slope monitoring systems, maintenance improvements, FBHE modifications, adequate lignite storage, manpower rationalisation and expediting Flue Gas Desulphurization (FGD) implementation.

KPI Green Energy completes 92.4 MW wind project in Gujarat

KPI Green Energy Limited completed a 92.4 MW wind power project for Ayana Renewable Power Four at Nakhatrana in Bhuj, Gujarat. The milestone was disclosed in a stock exchange filing stating that the project secured approval from the Central Electricity Authority (CEA). The project comprises 28 wind turbine generators, with KPI Green Energy executing the full scope including balance of plant, power substation development, extra high voltage (EHV) transmission line installation and erection and commissioning of all turbines. The facility adds to India’s renewable energy capacity and contributes to expansion of clean power generation infrastructure.

NTPC Green declares 165 MW commercial at Khavda-II solar project

NTPC Green Energy Limited (NGEL) declared commercial operation of 165 MW from the 1,200 MW Khavda-II Solar Photovoltaic (PV) Project in Gujarat effective February 20, 2026. The commissioned capacity forms the second phase of the project developed by NTPC Renewable Energy Limited (NREL), a wholly-owned step-down subsidiary of NTPC through NGEL. Following the addition, NTPC group’s overall installed capacity reached 87,974 MW and commercial capacity 86,894 MW, while NGEL group installed capacity increased to 8,992.68 MW and commercial capacity to 8,827.68 MW. The project is located in the Kutch region of Gujarat and expands NTPC’s solar portfolio within a major renewable energy cluster.

NHPC approves Rs 5,702 crore investment for two J&K hydro projects

NHPC Limited approved investment proposals worth about Rs 5,702 crore for two hydroelectric projects in the Union Territory of Jammu & Kashmir with a combined capacity of 500 MW. The Board approved the Uri-I Stage-II Hydroelectric Project (240 MW) with an estimated cost of Rs 2,708.95 crore, including Rs 264.31 crore Interest During Construction (IDC) and Rs 26.20 crore for enabling infrastructure, with construction scheduled from March 1, 2026. It also approved the Dulhasti Stage-II Hydroelectric Project (260 MW) costing Rs 2,993.96 crore, including Rs 289.06 crore IDC and Rs 245.00 crore for enabling infrastructure, with construction also planned from March 1, 2026. The approvals remain subject to implementation agreements with the Government of Jammu & Kashmir or the Jammu & Kashmir State Power Development Corporation (JKSPDC) and statutory clearances. The projects expand NHPC’s hydropower development pipeline in Jammu & Kashmir.