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Tamil Nadu drops plan to buy power from Kayamkulam NTPC station

By Our Staff Reporter

ALAPPUZHA (KERALA), AUG. 10. Tamil Nadu has backed out of a move to purchase power from the Kayamkulam station of the National Thermal Power Corporation (NTPC).

The cost of power produced by the station was high, besides the expenses involved in transmission, the sources said.

Though Kerala and Tamil Nadu had been sharing the power produced by the station, both States stopped the purchase in May this year following increased production from their hydel stations. Good rain in the States has increased the water level in reservoirs and thus boosted power generation.

As a result, the Kayamkulam NTPC station was shut down on May 17. Tamil Nadu explored the possibility of purchasing power from here a few days ago. But the hike in the price of naphtha, used as fuel at the station, and the charge payable to the Kerala State Electricity Board for transmission would mean an increase in the price of power if the station started functioning again, the sources said.

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