TN to add 1,600 MW to overcome power shortage

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Chennai, Oct 10: On Friday, Oct 10 in a bid to wipe out power shortage in the long term, the Tamil Nadu Government announced the setting up of two power plants to generate 1,600 MW of power at a total cost of Rs 7,627 crore besides taking steps to streamline electricity supply.

An official press release here said an agreement for setting up the new power plants was signed between Rural Electrification Corporation (REC) Chairman and Managing Director P Umashankar, Tamil Nadu Electricity Board Chairman S Machendranathan and Neyveli Lignite Corporation (NLC) Chairman and Manging Director J N Prasanna Kumar in the presence of Tamil Nadu Chief Minister M Karunanidhi at the Secretariat.

Under the agreement, TNEB and NLC will set up two power plants of 500 MW each at the Tuticorin Thermal Power Plant at a total cost of Rs 4,909 crore. The REC would provide a loan of Rs 3,437 crore for the purpose.

In addition, a 600 MW power plant will come up at the North Chennai Thermal Power Plant under the second phase of expansion.

This would cost Rs 2,718 crore. The REC would give a loan of Rs 2,175 crore.

Thus, the REC would loan the TNEB a total of Rs 5,612 crore for setting up the power plants.
The TNEB will also take up measures to streamline electricity supply. Overhead cables in Coimbatore, Madurai, Tiruchirapalli, Salem and Tirunelveli will be laid underground at a cost of Rs 1,132 crore. A 400 Kv double circuit transmission line would be laid between Pugalur in Karur District and Kalavandapattu Village, near here, for a distance of 325 km. The project will cost Rs 1,078 crore.

Setting up more sub-stations and other measures would cost another Rs 1,130 crore, the release said.

The REC has already given a loan of Rs 3,340 crore for the purpose in the current financial year.

The release claimed the measures will help Tamil Nadu solve and meet the growing requirements for electricity besides generating 9,000 direct and indirect jobs.

State Electricity Minister Arcot N Veerasamy was also present along with the senior officials.


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