UP cabinet approves Rs 2,242 crore for Pashwara south coal block in Jharkhand

Lucknow: The Uttar Pradesh cabinet on Monday approved Rs 2,242.90 crore for the development of the Pashwara South coal block in Jharkhand, allocated to Neyveli Uttar Pradesh Power Limited (NUPPL) to meet the fuel requirements of the Ghatampur thermal power project in Kanpur, officials said on Tuesday.NUPPL is a joint venture between Uttar Pradesh Rajya Vidyut Utpadan Nigam Limited (UPRVUNL) and Neyveli Lignite Corporation India Limited. The coal block, located in Dumka district of Jharkhand, was allocated by the govt of India in 2016.The project will be financed through a mix of 70% debt (Rs 1,570.03 crore) and 30% equity. Out of the equity component, UPRVUNL will contribute Rs 329.71 crore corresponding to its 49% stake in the joint venture.The Ghatampur thermal power project envisages three units of 660 MW each, of which two units have already been commissioned. The third unit is expected to begin operations soon. The project is a joint venture between the govt of India and the Uttar Pradesh govt.Mining operations at the coal block commenced on Dec 19, 2025, and coal extraction is targeted to start from Aug 2026, officials said.