Tata Power's Mundra plant mandated to run at full capacity till September

Business To Business, New Delhi, 23^rd June, 2026:   The Ministry of Power has directed Tata Power to continue operating its 4,150 MW Mundra Thermal Power Plant at full capacity until September 30, 2026, to help ensure adequate electricity supply during a period of high power demand.
The plant, located in Kutch district of Gujarat, had earlier been instructed to run at 100% capacity from April to June 2026. The latest order extends that mandate by an additional three months.
Government's Objective
The decision comes as India expects peak electricity demand to reach around 270 GW during the summer and monsoon period. Maintaining full generation at large thermal plants is seen as an important measure to prevent power shortages and support grid stability.
According to Tata Power's regulatory filing:
The validity of the directions issued under Section 11 of the Electricity Act, 2003, which were earlier applicable until June 30, 2026, has now been extended until September 30, 2026.
Section 11 of the Electricity Act
Under Section 11 of the Electricity Act, 2003, the government can direct generating companies to operate their power stations in a specified manner when it is considered necessary in the public interest, including situations involving power shortages or concerns over electricity security.
Importance of the Mundra Plant
The Mundra Thermal Power Station is one of India's largest private-sector thermal power facilities and plays a significant role in supplying electricity to multiple states.
Running the plant at full capacity is expected to:

• Support rising electricity demand
• Improve power availability during peak consumption periods
• Strengthen grid reliability
• Reduce the risk of regional shortages