18k MW extra power capacity in 10 years

Presenting the budget for 2021-22 Rajan said: “Almost 2,500 MW of power has had to be bought on the power exchanges to meet peak needs. Thus, the statement that Tamil Nadu turned a power surplus State over the last few years is inaccurate.”

He said the present aggregate installed power generation capacity in Tamil Nadu is 32,646 MW, including wind and solar capacity of 13,128 MW. But the actual maximum availability of power during peak requirement is only 14,351 MW as against the peak demand of 16,846 MW. The main reason for peak requirements being unmet is that wind energy is seasonal and solar energy is available only during the day.

Terming the financial losses suffered by the State power utilities as unsustainable, Rajan said under the ADB-assisted Chennai Kanniyakumari Industrial Corridor (CKIC) Power Sector Investment Project, a strategic study of Tangedco and Tantransco’s governance and financial restructuring would be undertaken. The government would act speedily on the findings of the study to revamp the electricity utilities and save them from collapse, he said. “To reduce costs, renewable energy will be developed and integrated at the distribution level and the distribution network will be strengthened to reduce Aggregate Technical and Commercial losses. Billing efficiency will be improved and energy conservation promoted,” he added.