Vedanta Power Limited, originally incorporated as Talwandi Sabo Power Limited in April 2007, was rebranded following a demerger process in 2026. The company operates as a Special Purpose Vehicle (SPV) initially established by Punjab State Power Corporation Limited (PSPCL) to develop a 1,980 MW (3x660 MW) thermal power project. Subsequently acquired by Vedanta Limited through an auction, Vedanta Power Limited has expanded its operational footprint in India's thermal power sector.
As of December 2025, the company ranks as the 5th largest private thermal power producer in India, with a current installed capacity of 4.2 GW. It has additional capacity under development, including Sakti’s Unit 2, which will contribute another 0.6 GW. Through a strategic acquisition in June 2022, Vedanta Power added the 1,200 MW coal-based Sakti Thermal Plant (formerly Athena Chhattisgarh Power Limited) in Raigarh, Chhattisgarh to its portfolio.
In a restructuring move effective May 2026, the company undertook a demerger of its Merchant Power Business from Vedanta Limited. As part of this transition, Vedanta Power issued over 3.91 billion equity shares to Vedanta Limited shareholders based on a predetermined share entitlement ratio. This move has streamlined Vedanta Power's operations and positioned it as a focused entity within the energy sector.
With a solid presence and strategic growth initiatives, Vedanta Power is a significant player in India’s power generation landscape, supported by its focus on thermal energy and strategic expansions.