JOIN USThe plant would be located at Luni in Dhenkanal district. The company would draw water from river Mahanadi, said Energy Secretary Pradip Kumar Jena, who signed the document on behalf of the state government.
Before JSL, 26 Independent Power Producers (IPPs) have started work on projects to generate 31,100 MW thermal power in the state, Jena said.
The state government's share of the 26 thermal power plants would be around 5,480 MW.
Asking thermal power plants to use clean coal technology to reduce carbon dioxide emission, Chief Minister Naveen Patnaik said promoters should improve boiler efficiency through appropriate technology.
"Effective fly ash management plan is required to be adopted by the IPPs," Patnaik said.
The JSL power plant would provide employment, both direct and indirect, to 2,600 people, he said.
The company required 2,000 acre for the project, which the state government has agreed to, Ratan Jindal led JSL Limited's resident director for Orissa, Rajdeep Mohanty said.
JSL has also agreed to abide by the new rehabilitation policy of the state government besides taking 90 per cent of unskilled and semi-skilled labourers from among the local people, the MoU said. Similarly, 60 per cent of skilled labourers and a minimum of 30 per cent in supervisory managerial manpower would come from among local people.