Adani Pench Power Ltd, a subsidiary of Adani Power is to set up 1320 Chaunsara thermal project in village Chaunsara in Chhindwara district of Madhya Pradesh. The project involves setting up of 2x660 MW unit with super critical technology. The company had invited bids from contractors under international competitive bidding in March 2010. The state government will provide infrastructure and land required for the project. The Madhya Pradesh State Electricity Board (MPSEB) is expected to transfer about 300 hectares of land to Adani Power. The Pench River has been identified as the water source for the power plant. Adani Power will sell 10% of the net power generated at Chhindwara to the state government at a variable cost. The state government will have the first right of purchase for up to 40% of the total electricity generated by the power plant for 20 years. The remainder of the power produced will be tied to medium and long-term
Land and Water requirement had been reserved for the project. Application for coal linkage has been made. The project is expected to go operational by FY 2015.