Paras Thermal Power Station is the oldest of all Mahagenco Power plants. The station has witnessed the third generation technology. The station had 30 MW installed capacity in 1961 with a stroke boiler. the same unit wea abandoned in 1993 due to ageing.
It is on the Nagpur-Bhusawal section of Central Railway. Coal-based thermal power stations consume large quantities of coal. For example, the Paras Thermal Power Station consumed 351,000 tonnes of coal in 2006-07. Around 80 per cent of the domestic coal supplies in India are meant for coal based thermal power plants and coal transportation forms 42 per cent of the total freight earnings of Indian railways.