The West Bengal Power Development Corp is planning to build a 2000 MW thermal power plant at Sagardighi in the Murshidabad district of the state. The project is expected to be built in three phases.

The first two phases will involve the construction of four 250 MW coal-fired generating units to provide an aggregate generating capacity of 1000 MW. These will be followed, in the third phase, by a 1000 MW gas-fired power plant.

The developer is reported to have signed a letter of interest with Vavasi Oil and Gas to supply 1 million t/year of liquid natural gas. The company is also believed to have signed a letter of interest with Unocal Bharat for natural gas from the Bibiyana gasfield in Bangladesh.

Negotiations are currently underway with international lending agencies to secure finance for the project. Meanwhile a feasibility report has been completed and the proposal is awaiting government clearance.