The Hindu : Front Page : State plans electricity transmission corporation

Online edition of India's National Newspaper
Tuesday, Jan 22, 2008
ePaper | Mobile/PDA Version

Front Page

Front Page

State plans electricity transmission corporation

Special Correspondent

No plan to privatise generation: Minister
Efforts on to bring down line losses

ATHIPATTU (TIRUVALLUR district): Tamil Nadu is considering the formation of an Electricity Transmission Corporation, said N. Veeraswami, Electricity Minister, on Monday.

The utility would help in transmitting power generated from Tamil Nadu to other States such as Karnataka.

“Only for the purpose of transmission, we are forming a separate entity. There is no intention to privatise power generation or distribution in the State,” the Minister said, inaugurating the project works for a 600-mega watt unit at the North Chennai Thermal Power Station (NCTPS), Athipattu, in Tiruvallur district (about 35 km from Chennai).

[Under the Electricity Act of 2003, State Electricity Boards are not permitted to perform the functions of generation, transmission and distribution together. Tamil Nadu has been getting permission from the Union Government for extending the deadline for restructuring the Tamil Nadu Electricity Board (TNEB). In early December, the State received the Centre’s nod for extending the deadline for six more months.]

The Government had approved merchant power projects, which would generate 25,000 MW. In three years, 10,000 MW was likely to be produced under this programme.

The State Government would get 25 per cent of the generated power at Rs. 2.50 a unit, the Minister said.

To get more electricity, the State Government announced subsidies for industries using generators.

The Government also suggested to industrial units to stagger their holidays.

Subsidy for night operations had also been announced.

Mr. Veeraswami appealed to the Bharat Heavy Electricals Limited (BHEL), which has been awarded the work of establishing the unit at the NCTPS, to complete the project in two years as against the contracted period of 39 months. “If the BHEL commissions the unit by 2010, it will help in supplying power as per the State’s requirement,” he said.

The Minister hoped that there would be no power cut in the State during summer this year. The State was taking all measures to buy power from other States and requested the Centre to allocate more power for Tamil Nadu, he said.

K. P. P. Samy, Fisheries Minister, said the Government would provide employment to the locals under the new project.

Responding to the plea of Villivakkam MLA B. Ranganathan, the Electricity Minister said the Government was making efforts to bring down the rate of line losses from 18 per cent to 15 per cent.

Ashok K. Puri, Chairman and Managing Director, BHEL, Satapathy, Principal Secretary (Energy) and S. Machendranathan, TNEB Chairman, spoke.

Printer friendly page
Send this article to Friends by E-Mail

Front Page

News Update

Stories in this Section