The plant renamed as Ratnagiri Gas & Power Private (RGPP) has stopped receiving gas on Friday and for the last two months the gas supply to the facility has been uncertain.
RGPP, located about 180km to the south of Mumbai, Maharashtra on the coast has a capacity to produce 1,950MW of electricity.
Dabhol gas-fired plant requires 8.5 million metric standard cubic meters daily (MMSCMD) of gas to produce power. 7.6 MMSCMD is supplied from Reliance and 0.9 MMSCMD from ONGC to generate power to its full capacity.
Ratnagiri Gas & Power Private spokesperson was quoted by Hindustan Times as saying that the plant is getting about 0.8 MMSCMD gas till date.
"But it too has stopped and we have no scheduled supply coming in near future," spokesperson added.
Since October 2011 the gas supply has been inconsistent, resulting in power generation decline and in the last week of January 2013, the plant stopped working.