Jamshedpur, April 13: The National Thermal Power Corporation (NTPC) will set up a thermal power project, worth about Rs 900 crore, at Hazaribagh.

It will be NTPC’s first thermal power project in Jharkhand.

Sources said the land for setting up the project has been acquired at Chandra block. The place has been selected keeping in view its proximity to two coalfields — Magadh and Ashoka coalfields owned by CCL.

The installed capacity of the thermal power plant will be 1980 megawatt.

According to sources, all formalities have been taken care of for getting an approval from the Central Electricity Authority for setting-up the plant.

According to NTPC officials, 60 per cent of the power generated by the thermal power plant will be utilised by Jharkhand, while the remaining will be supplied in the neighbouring West Bengal, Orissa and Bihar.

Officials of the public sector company said the agreement for power supply with the other states have already been made, while the agreement with the Jharkhand government and Jharkhand State Electricity Board (JSEB) would be signed soon in the state capital.

According to NTPC sources, several top officials of the company, who had come to attend a function in Ranchi recently, met the JSEB authorities to discuss the details of the project.

A senior public relation officer of NTPC, A.K. Srivastava, said establishing the plant would also help in improving the power situation in the peripheral areas of the city and Adityapur industrial the largest industrial area in Asia.