On the request of Chief Minister Pushkar Singh Dhami, the Ministry of Power, Government of India has given in-principle consent to the joint venture of UJVN Limited and THDC India Limited for setting up a coal-based thermal power plant. In this regard, the Chief Minister informed the Government of India for coal allocation in April 2024 under the Shakti Policy that the state government is willing to set up a coal-based thermal power plant through the joint venture of THDC and UJVN Limited in addition to its public sector undertaking UJVN Limited. In the same sequence, the Central Electricity Authority also strongly recommended the supply of coal to the state of Uttarakhand for the purpose of generating 1320 MW thermal power under the Shakti Policy. In the same sequence, the Uttarakhand government agreed to set up a thermal power plant through the joint venture (TUECO) of THDC and UJVN Limited.
As per the Shakti Policy, Coal India Limited can allow the supply of coal to the production companies of the Central and State Governments and their joint ventures at notified rates. In this sequence, it was proposed that a joint venture (TUECO) of THDC and UJVN Limited should apply for coal allocation. The power generated after coal allocation will definitely improve the power system of the state.