# Mitsubishi to pay NTPC Rs 851 crore to exit Farakka FGD project

2026-08-15T00:14:48+00:00 | Business & Economy | Indian Opinion Desk

Corroboration: 1 independent outlet

Mitsubishi has agreed to pay NTPC Rs 851 crore to exit a flue gas desulphurisation (FGD) project at the Farakka Super Thermal Power Station in West Bengal. The boards of both companies must still approve the deal, sources told ET. The project was originally valued at Rs 1,000 crore when awarded six years ago, with NTPC paying 20% upfront. Completion was due by 2025, but significant work remains unfinished. ET previously reported that NTPC had demanded over Rs 1,200 crore in compensation from Mitsubishi Power India, while the Japanese firm had offered about Rs 720 crore. In June 2025, the government exempted most coal-fired plants from installing FGD units, citing studies that Indian coal emits low sulphur. Mitsubishi had completed only the first of three stages at Farakka.

## Coverage

- economictimes.indiatimes.com <https://economictimes.indiatimes.com/industry/energy/power/mitsubishi-agrees-to-pay-ntpc-rs-851-crore-to-exit-farakka-project/articleshow/133249302.cms>

Tags: Farakka, Government of India, Mitsubishi, NTPC, West Bengal
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