Essar Energy feeling warm glow at Vadinar

Essar Energy, the India-focused integrated energy company, has now commissioned the second of two units at its Vadinar Phase 2 (P2) power generation project in Gujarat state.

The coal fired Vadinar P2 plant now has a total capacity of 510 megawatts (mw) and is providing power and process steam to Essar Oil's Vadinar oil refinery.

The addition of coal fired generation will significantly lower generation costs and result in improved refinery margins, Essar Energy said. Power will also be sold to Essar Steel and into the merchant market.

"The commissioning of the second unit at Vadinar P2 is an important step forward for our power business and also for the refinery given the positive impact this will have on margins," said Essar Energy's Chief Executive, Naresh Nayyar.

JH