Bhubaneswar: The Odisha government has clarified that the proposed amendments related to thermal power projects will apply only to upcoming generating units and will not impact existing independent power producers currently supplying electricity under already signed Power Purchase Agreements.
According to the clarification, the present system of power availability to the state at variable cost will continue under the existing arrangements. The government also stated that the proposed policy changes will not affect the current Bulk Supply Price or the Retail Supply Tariff paid by electricity consumers in the state.
Officials said the proposed revision has been framed after reviewing the present industrial and economic environment, to attract fresh investment into the power sector and support faster industrial growth.
The revised framework is intended to create a more investment-friendly environment by improving investor confidence and encouraging new industrial projects, while maintaining safeguards for public interest.
The government noted that new thermal power projects often lead to the growth of ancillary industries, transport services, logistics networks, engineering operations and local supply chains, generating economic activity across several sectors.
It further stated that such projects create employment opportunities for local communities during both construction and operational stages, while also benefiting MSMEs, contractors, transport operators, and service providers connected to industrial activity.
According to the government, expansion in industrial and commercial operations is also expected to strengthen state revenue through GST collection and other statutory sources, improving the government’s capacity to invest in infrastructure and welfare programmes.
Reiterating its position, the state government said it remains committed to protecting consumer interests while also promoting industrial development, employment generation, and long-term economic growth.
