Rising demand may aid Tata Power to restart Mundra unit

The 4,000-MW thermal power plant is shut since last July due to disputes with client states

- Nehal Chaliawala

Talks with Gujarat, other states on a supplementary power purchase agreement are progressing, says CEO Praveer Sinha.. MINT

Tata Power's idled 4,000-megawatt Mundra thermal power plant in Gujarat could restart soon, likely before the end of March, managing director and chief executive Praveer Sinha said, even as the company has repeatedly missed its own timelines to bring the plant back into operation.

“Mundra is starting soon, it is just a matter of time,” Sinha told Mint on the sidelines of a press conference on Friday after announcing its partnership with Salesforce. A supplementary power purchase agreement (SPPA) with Gujarat and other client states should happen “very quickly,” he said, declining to elaborate further.

The ultra mega power project in the coastal town is closed since July 2025 amid disagreements with client states—Gujarat, Rajasthan, Punjab, Maharashtra and Haryana—over the pass through of high cost of Indonesian coal.