Congress alleges 84 rules changed to benefit Adani in Uttarakhand power deal
Congress claims this deal could burden state consumers with around ₹1.6 lakh crore.
The Congress has alleged that the Uttarakhand BJP government has benefited the Adani Group by changing 84 rules related to the tender for purchasing 1,320 megawatts of electricity. The party claims that this 25-year agreement could burden the state's consumers by around ₹1.6 lakh crore. Addressing a press conference at the Congress headquarters, Rajya Sabha MP Pawan Khera alleged that the state government first canceled a public sector power project and then changed the conditions of the new tender until they became favorable to Adani Power.
Pawan Khera said,
This is a clear example of how a state government first terminated its public sector project and then tailored every rule of the competitive tender to favor a particular company.
The original project was to be developed through a joint venture between UJVN Limited and THDC India Ltd to increase electricity production capacity in Uttarakhand. Khera alleged that,
just months after the formation of the joint venture, the project was canceled. At the same time, Adani Power was acquiring Lanco Amarkantak Power Ltd through the bankruptcy process in Chhattisgarh.
He stated that,
this acquisition also included the 1,320 megawatt expansion project in Korba. Subsequently, Uttarakhand Power Corporation Limited (UPCL) issued a new tender for purchasing 1,320 megawatts of electricity. Khera alleged that the conditions were continuously changed, ultimately leading to Adani Power emerging as the successful bidder for the tender.
Khera further stated,
This is crony capitalism in the name of competitive bidding.
According to Congress, in 2024, Chief Minister Pushkar Singh Dhami informed the Union Minister of Coal and Mines that the proposed thermal power project in Uttarakhand would be developed through a joint venture of UJVN Ltd. and THDC India Ltd instead of a private company. In July 2024, the central government also granted in-principle approval for this proposal. However, on January 16, 2025, the state government canceled it citing the time required for project completion.
Khera questioned this decision, stating that the UJVN -THDC joint venture was formed less than a year ago and had prepared a plan to double Uttarakhand's electricity capacity in eight years. During this time, on August 21, 2024, Adani Power acquired Lanco Amarkantak Power Ltd under the bankruptcy process. According to Khera, this deal also included the 1,320 megawatt expansion project in Korba.
UPCL issued a tender for purchasing 1,320 megawatts of electricity on February 3, 2025. Khera alleged that on the same day, Adani Power submitted an application for environmental clearance for the Korba expansion project. He also alleged that later the tender conditions were changed to mandate the purchase of the entire 1,320 megawatts of electricity from a single company. Additionally, the condition to establish the power production plant in Uttarakhand was removed, allowing it to be located “anywhere in India.”
On August 25, 2026, the Uttarakhand cabinet approved the purchase of 1,320 megawatts of coal-based electricity from Adani Power at the rate of ₹5.746 per unit for 25 years. This electricity is to be supplied to Uttarakhand from a plant located in Chhattisgarh. The state government claims that Adani Power submitted the lowest bid and that the purpose of this agreement is to ensure a reliable electricity supply for the state in the long term. The Uttarakhand Electricity Regulatory Commission approved the purchase of 1,320 megawatts of electricity in July 2026.
Khera questioned,
UJVN -THDC project was canceled, why was the same amount of electricity purchased through a tender whose conditions were changed repeatedly?
He asked,
Why did the BJP government create such an opportunity of 1,320 megawatts by terminating its UJVN -THDC project that was perfectly suited for Adani's Korba plant?
Khera further stated,
Why were the 84 conditions of the tender changed? Was this tender created for competition or for Adani? And why should the people of Uttarakhand pay around ₹1.6 lakh crore over 25 years for a project whose conditions were repeatedly changed to favor a corporate group?
Khera also sought clarification on the increase of the maximum limit of fixed charges to 75 percent. He alleged that this agreement could cost Uttarakhand around ₹1.6 lakh crore over 25 years.
The Uttarakhand government has responded to the Congress's allegations. Principal Secretary of Energy Dr. R. Meenakshi Sundaram stated that the option of setting up the plant through government companies was considered, but the joint venture of UJVN and THDC could not move forward. Subsequently, considering the future electricity needs of the state, the decision was made to purchase electricity from outside.