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Gujarat State Power Generation Policy

Power is a key contributor to the development of state’s social and economic structure. Reliable and quality power supply is primary driver for state’s rapid industrial, commercial growth and resultant employment. Gujarat Govt. has demised a power generation policy which aims at providing an enabling framework for encouraging private participation and promoting efficient, environment friendly technologies in power generation.


  • To develop the state of Gujarat as a power generation hub.
  • To have adequate availability of power in the state for agriculture, household industry and etc.
  • To encourage environment friendly and efficient power generation facilities.
  • To ensure efficient and effective utilization of conventional fuel by the power generation industry.

Eligible Units:

  • Independent Thermal Power Projects established by a private developer with an installed capacity of more than 200 MW at a single location in the state of Gujarat.
  • A power plant of any capacity based on conventional fuel but utilizing Integrated Coal/Lignite Gasification Combined Cycle.
  • Any Co-generation plant of capacity greater than 60/100 MW.
  • The plant developer should be selling power to state utilities.


Benefits will be provided in the form of following facilitations by Govt.:

  • Identification of suitable location for the project.
  • Creation/Up-gradation of connecting infrastructure to the site.
  • Arranging right of way
  • Obtaining fuel linkage
  • Obtaining port linkage
  • Arranging water supply
  • Obtaining clearances and approvals such as for connecting the power plant to the grid substation which are in the purview of the State.
  • Developer can also avail the benefits under Industrial Investment Policy.

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