Coal India Limited (CIL) has officially announced the incorporation of a new Joint Venture company named DVC CIL Power Private Limited. The JV was incorporated on March 27, 2026, with the Ministry of Corporate Affairs. CIL and Damodar Valley Corporation (DVC) will each hold 50% equity. The primary business focus of the new entity will be power generation, transmission, and the utilization of power plant by-products.
Formalization of Joint Venture Company
Coal India Limited (CIL) has informed the stock exchanges regarding the successful incorporation of a Joint Venture (JV) company, DVC CIL Power Private Limited. This follows up on earlier communications, with the Ministry of Corporate Affairs (MCA) confirming the incorporation via email dated March 27, 2026. The newly formed entity has been allotted the Corporate Identification Number (CIN) U35102WB2026PTC287644.
Equity Structure and Investment Details
The JV is a 50:50 partnership between CIL and Damodar Valley Corporation (DVC). The initial capital structure involves an equity infusion of ₹3,132.96 Crore, representing 30% Equity in the consideration mix, with the remaining 70% Debt. The initial capital comprised 50,000 equity shares at ₹10 each. CIL and DVC each hold a 50% stake in the newly formed company.
Core Business Focus of the JV
The scope of business for DVC CIL Power Private Limited is extensive, focusing on three main areas within the energy sector:
1. Power Generation & Allied Businesses
The JV aims to undertake the planning, research, design, construction, generation, operation, and maintenance of power projects utilizing thermal, hydro, and renewable energy sources. This includes developing related businesses such as e-mobility infrastructure, water treatment, and the utilization of by-products like fly ash, silica, and FGD residues.
2. Power Transmission & Distribution
A key objective is to establish, acquire, operate, and maintain power generation, transmission, and distribution systems across India and internationally, utilizing various models (BOT/BOO/BOLT/BOOT). This includes managing infrastructure such as substations and transmission networks.
3. Utilisation of Power Plant By-products
The JV will also engage in the processing, manufacturing, marketing, and sale of fly ash and other materials generated from electricity production, specifically to develop commercial products derived from these by-products.
Source: BSE
