TN announces concessions to industrial units to save power

Chennai, Nov 26 (UNI) The Tamil Nadu government today announced a series of concessions to industrial units across the state for saving power during this summer.

Addressing the industrial bodies on the present power situation in the state, State Electricity Minister Arcot N Veerasamy said the concessions, included VAT exemption for generating captive power using furnace oil and providing uninterrupted power supply to those who run night shifts and use generator in the peak hours.

''All these concessions would come to effect from January one, 2008,'' he said.

Mr Veerasamy said ''we are about 1000 MW shortage this summer from our total production of 7,200 MW,'' he added.

''This summer, it is expected to be nearly 8,500 MW. However, the government is confident of tiding over any shortage that may arise in the next six months,'' he said pointing out that the Electricity Board was earning only at the 52 per cent of its total power production.

He also disclosed that there would not be any power-cuts for the households during the summer.

''Government will not impose any power-cuts for the households during this summer,'' he said adding ''in order give uninterrupted electricity supply, the government will even go to the extent of buying power from other states.'' While urging the industrialist to cooperate with the government, the Minister said the state was slowly moving foward to become a power self sufficient in the coming years.

Mr Veerasamy said the government under the Merchant Power Project had planned to set up ultra mega power projects in Cuddalore and Nagapattinam districts, which could produce about 8,000 MW power.

''The projects will be commissioned during 2010-11,'' he added.

UNI