CAQM Fines Six Thermal Power Plants
Analysis based on 7 articles · First reported Apr 08, 2026 · Last updated Apr 08, 2026
The imposition of significant environmental compensation on six thermal power plants will directly impact their financial performance and operational costs. This action by the India===Commission for Air Quality Management in National Capital Region and Adjoining Areas signals stricter enforcement of environmental regulations, potentially leading to increased compliance costs across the power generation sector.
The India===Commission for Air Quality Management in National Capital Region and Adjoining Areas (CAQM) has imposed environmental compensation totaling approximately ₹61.85 crore on six coal-based thermal power plants located within a 300 km radius of Delhi. The penalties were levied for non-compliance with the Environment (Utilisation of Crop Residue by Thermal Power Plants) Rules, 2023, which mandate a 5% blend of biomass pellets or briquettes with coal, with a minimum 3% co-firing threshold for FY 2024-25. The rules aim to promote ex-situ management of crop residue, reduce paddy straw burning, and mitigate air pollution in the National Capital Region. A committee reviewed compliance data and submissions from the plants, concluding that their reasons for non-compliance were insufficient. Vedanta Limited===Talwandi Sabo Power Limited received the highest penalty of ₹33.02 crore. Other penalized plants include Haryana Power Generation Corporation Limited===Panipat Thermal Power Station, Haryana Power Generation Corporation Limited===Deenbandhu Chhotu Ram Thermal Power Plant, Haryana Power Generation Corporation Limited===Rajiv Gandhi Thermal Power Plant, Punjab State Power Corporation Limited===Guru Hargobind Thermal Power Plant, and Uttar Pradesh Rajya Vidyut Utpadan Nigam Limited===Harduaganj Thermal Power Station. The plants have been directed to deposit the compensation by April 15.
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