RECL to extend Rs 16,000 cr for TN power sector

Chennai, Apr 2 (UNI) The Rural Electrification Corporation Limited (RECL) will extend financial assistance of Rs 16,000 crore to the Tamil Nadu Electricity Board (TNEB) for execution of new schemes over the next five years leading to 2,500 MW of capacity addition besides improving transmission and distribution network.

A Memorandum of Understanding (MoU) between TNEB and RECL was signed in the presence of the Chief Minister at the Secretariat today for what is purported to be the biggest cumulative sanction given by RECL to the state.

The assistance would enable the state power sector to execute its ambitious and required power sector expansion plans without any financial constraint at Ennore, Mettur and Tuticorin thermal power stations in Tamil Nadu between 2007 and 2012 and help customers enjoy uninterrupted and quality power supply.

In addition, pumped storage capacity of 500 MW in Nilgiris was also being established, an official statement said.

UNI