India Stressed Asset Revival: Essar Power's Tori Power Plant

Last Modified: Thu Apr 23 2020 00:32:41 GMT+0530 (India Standard Time)
  • 1,200 MW
    Planned generation capacity (2 units of 600 MW each) of Essar Power's Tori Power Plant in Latehar, Jharkhand. Envisaged in 2008, the project is long overdue and barely 45% complete till now.
  • 900 MW
    Capacity for which the project has a power purchase agreement (PPA) with the Bihar State Electricity Board at a tariff of Rs 2.64 and Rs 3.48 per unit, despite having no coal arrangement.
  • 0
    Coal linkage. The coal block allotted earlier to the project was de-allocated post a Supreme Court ruling in 2014. Unit 1 is reported to be generating power based on coal purchased via e-auction.
  • Rs. 9,000 crore
    Estimated investment already made in the project. Initial investment of ₹5,500 crore in the project, out of which, ₹2,500 was infused as equity. The company required around ₹4000 crore more to complete the project, KVB Reddy, the then COO of Essar Power, told BusinessLine in November, 2018.
  • Rs 5,640 crore
    Amount due to various lenders as of 22 May 2018. The project’s lead lender ICICI Bank moved the National Company Law Tribunal (NCLT) in Jan 2018 to recover dues of around Rs 3,626 crore.
  • $285.5 million
    Value of imported equipment lying in Kolkata Port and bonded warehouse in Jharkhand since August 2011, the consignments could not be exbonded due to non payment of custom duty. According to the information submitted by the finance ministry, state-owned lenders PFC and REC have not disbursed funding to the project because of non-satisfaction of certain conditions such as fuel supply linkage.
  • Rs 30.52 lakhs
    Claims filed by workmen and employees with the resolution professional.
  • 30 Sep 2016
    The company was declared a non-performing asset.
  • Apr 2018
    The National Company Law Tribunal (NCLT) admits the company into insolvency and appoints Huzefa Fakhri Sitabkhan as the Insolvency Resolution Professional. Expression of Interest (EoI) from prospective bidders invited. Earlier in Jan 2018, the project’s lead lender ICICI Bank moved the NCLT.
  • Dec 2018
    Sole bid from Lighting Solutions LLC received and approved by the bank. The bidder asked to submit a performance bank guarantee by Jan 2019.
  • May 2019
    Committee of Creditors (CoC), in which ICICI Bank has over 90% voting rights, declined the ₹1,200-crore settlement proposal made by the former promoters of the project.
  • Jan 2020
    The principal bench of the NCLT orders the liquidation of Essar Power Jharkhand after the sole bidder for the company refused to furnish a performance bank guarantee.