Due to delay in acquiring clearance from West Bengal government
Damodar Valley Corporation (DVC) has walked out of the joint venture with NLC India (NLCIL) for acquiring Raghunathpur thermal power plant. NLCIL and DVC had signed an agreement for the formation of a Rs.55 billion JV company for acquiring DVC’s 1,200 megawatt Reghunathpur thermal power station. Under this arrangement, NLCIL would acquire 74 per cent stake in Raghunathpur project, while the rest will remain with DVC. However, owing to a delay in getting clearance for the proposal from the West Bengal government, the JV could not get off the ground. The Centre and the state government of Jharkhand had approved the scheme. The Centre, West Bengal and Jharkhand are equal shareholders of DVC.