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Web Exclusive | July 2013

TN ties up with private firms for long-term power supply

The Tamil Nadu Electricity Generation and Distribution Corporation (TANGEDCO) has tied up with four power producers to procure 1,200 mw for 15 years. The move is in line with the State Government’s announcement to tie up for long-term power purchase under the Case 1 bidding route to tide over power shortage in the State.

The agreement has been finalised with DB Power to supply 208 mw; Jindal Power 400 mw; Ind Bharat 500 mw and Balco 92 mw at Rs 4.91/kwh.

Tangedco had called for bids for the supply of 1,000 mw of power for 15 years from October 1, 2013. It received bids for 3,500 mw from 12 developers. The utility is confident that with nearly 2,500 mw of additional capacity likely from its own projects and joint ventures the 4,000 mw shortage can be bridged.

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