Ultra mega projects in TN to tide over power shortage : Minister
Chennai,
Jan
24:
Tamil
Nadu
Electricity
Minister
Arcot
N
Veerasamy
today
informed
the
Assembly
that
the
State
government
had
planned
to
set
up
ultra
mega
power
projects
in
Cuddalore
and
Nagapattinam
districts
under
the
Merchant
Power
Project.
Replying to Congress MLA E S S Raman, he said the proposed mega project would generate 18,000 MW of power.
Explaining the rationale behind allowing the merchant power plants, the minister said the State experienced power shortage, particularly during summer. During such times, the Tamil Nadu Electricity Board (TNEB) bought power from other states. The cost of power from the merchant power plants was expected to be cheaper than the power being bought from other states.
Mr Veerasamy disclosed that the TNEB would buy power from the Merchant Power Plants at the rate of Rs 2.50 per unit.
''The State government will ensure that the rate would not go beyond Rs 2.50 per unit'', he said, adding ''the rates would be based on the purchase of coal from other countries by the Merchant plants''.
''The State government will be setting up a Transmission Corporation and through that the generated power would be transmitted through grids to other states. This process would cost Rs 25,000 crore'', he said.
The minister informed the House that the state government would ensure that there would not be any power cuts this summer.
UNI