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Raj to retire seven of its oldest thermal power plants by 2029-30
Rajasthan to retire seven thermal power plants by 2029-30 due to expired environmental clearance, raising concerns over job losses for contractual workers.
The Rajasthan government has decided to retire its seven oldest thermal power plants worth 1,350 MW by 2029-30 as their environment clearance has expired.
The Rajasthan Urja Vikas and IT Services Limited (RUVITL) has recently stated it in a review petition to the Rajasthan Electricity Regulatory Commission (RERC) while appealing for setting up an additional 3,200 MW thermal plant in Rajasthan.
“While the petitioner’s proposal for 3,200 MW thermal capacity is seen against the total 4,400 MW coal-based requirement and not only against the united 1,905 MW, the earlier perceived major difference between the 3,200 MW and 1,905 MW no longer exists in the same manner. In particular, 3,200 MW constitutes a significant but not excessive portion of the total 4,400 MW coal-based requirement. Also, the potential increases from the retirement of 1,350 MW thermal power plants by FY 2029-30,” read a copy of the review petition accessed by HT.
To be sure, RUVITL filed the review petition earlier this month after the RERC refused to clear the former’s proposal to procure 3,200 MW of coal-based power for the next 25 years in November last year.
Of the total seven, five are located in Kota which have been established in 1983, 1988, 1989, and 1994 while two others are in Suratgarh established in 1998 and 2004, as per the details provided in the petition.
According to the officials, the government was already planning to retire two units of Kota Thermal Power Station in 2021 but reversed the decision after an intense protest by the workers of those stations who feared of losing their jobs.
“In September, 2022, MoEf&CC once again granted more time to the thermal power plants for meeting the standards. However, MoEF&CC, in July 2025, has issued a notification revising applicability of emission standards for all these seven power plants following which the government has now taken the call to retire them by 2029-30 FY,” said the official requesting anonymity.
However, experts raised concern over the loss of livelihoods due to the sudden retirement of these plants saying that most of the workers there are contractual labourers for whom the government may not have any proper policy to absorb them in different plants as it happened many times before.
“For example, the five thermal plants in Kota that are going to be retired comprise 2,012 contractual labourers against 731 government employees (employed by Rajasthan Rajya Vidyut Utpadan Nigam Limited). It will result in loss of livelihoods for contractual workers. While permanent workers can be transferred to other plants, the same option is generally not available to contractual workers. For most contractual workers, a plant is their only source of livelihood and they are more vulnerable due to significantly less wages and social security compared to permanent workers. In addition, the closure of the plant will adversely affect a range of ancillary jobs in the informal economy that have developed around the plant, including fly ash processing industries,” said Manideep Gudela, an energy policy researcher from Centre for Energy, Environment, and People (CEEP) Jaipur.
Responding to the development, an RUVNL official said, “We have no other option but retiring the plants. But we have time and so we will definitely make a proper plan to protect the livelihoods of these labourers.”
