GUVNL and GMDC Partner to Enhance Gujarat Energy Security Amid Surging Power Demand

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In a bid to fortify energy security and meet escalating power demands in Gujarat, the state government has launched a strategic initiative under the leadership of Honโ€™ble Chief Minister Shri Bhupendrabhai Patel. The Energy & Petrochemical Department, led by Honโ€™ble Minister Shri Kanubhai Desai, in collaboration with the Industries & Mines Department, has formulated a comprehensive framework aimed at ensuring sustainable energy supply.

According to the latest projections from the Central Electricity Authority’s 20th Electricity Power Survey, Gujarat’s peak power demand has surged from 24,544 MW in FY 2023-24 to an estimated 36,000 MW by FY 2031-32, reflecting a compound annual growth rate (CAGR) of over 6% over the past five years.

A significant milestone in this endeavor was marked on June 25, 2024, with the signing of a memorandum of understanding (MOU) between Gujarat Urja Vikas Nigam Limited (GUVNL) and Gujarat Mineral Development Corporation (GMDC). This collaborative effort aims to replace aging power generation units and enhance capacity through the development of coal and lignite-based power stations, aligning with the state’s energy security objectives.

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Speaking on the occasion, Shri Kanubhai Desai emphasized, “This MOU signifies a pivotal step towards securing Gujarat’s energy future. The partnership between GUVNL and GMDC underscores our commitment to sustainable energy practices and ensuring uninterrupted power supply for our citizens. It is a testament to our collective efforts towards fostering a self-reliant and prosperous Gujarat, which in turn will contribute significantly to the national economy.”

Recognizing the imperative of reducing carbon emissions, the utilities are also focusing on developing renewable energy projects to balance the grid and meet peak demand, particularly during late evening hours. GMDC is actively advancing lignite mining projects across Gujarat and has secured additional coal reserves through allocations in Odisha, which together boast a mineable reserve capable of supporting approximately 4,400 MW of thermal capacity.

Furthermore, GMDC’s efforts include operationalizing lignite mines within Gujarat, anticipated to add 1,250 MW to the state’s power generation capacity. These initiatives are poised to ensure a reliable and competitive 24×7 power supply for consumers across Gujarat.

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The collaboration between GUVNL and GMDC reflects a proactive approach towards enhancing energy infrastructure and sustainability, paving the way for Gujarat to maintain its leadership in power generation and economic growth.


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