Brief
Tamil Nadu buys power at Rs 35 per unit for peak‑hour supply, minister says
The purchase is presented as a temporary measure to cover shortfalls caused by low wind generation and higher demand.
By Felo News Desk · Published
Chennai – Electricity Minister C. T. R. Nirmal Kumar told reporters on Tuesday that the Tamil Nadu government will purchase 1,500 MW of electricity at Rs 35 per unit, but only for peak‑hour use, to prevent two‑ to three‑hour outages that have affected neighbouring states.
What happened
The minister said the arrangement is temporary and will cost an additional Rs 5 crore, far less than the Rs 1 lakh crore loss alleged by opposition figures. He explained that the state failed to receive the expected 1,850 MW from the NLC and that wind generation fell sharply from 3,500 MW to 500 MW as temperatures rose in October under El Niño conditions. Consumption, he added, has risen because of the heat.
What the reports add
According to the Deccan Chronicle report, former Chief Minister Edappadi K. Palaniswami and former minister V. Senthil Balaji accused the government of buying power at an inflated price and warned it could ruin the electricity department’s finances. The minister countered that the previous DMK administration had also bought power at high rates and that the current purchase is limited to peak periods.
What was said
Minister Nirmal Kumar said the purchase is a short‑term step and that the government will seek long‑term contracts at lower rates in the future. He noted that the DMK government had previously bought additional solar power, which he claimed caused a loss of Rs 1,000 crore, and that new solar applications will only be accepted after sufficient battery storage is in place.
Senthil Balaji alleged that the TVK government reduced state‑owned power production and is now demanding Rs 15 lakh to install a solar plant. He said the state’s own generation rose from 22,000 MW under the AIADMK to 29,000 MW under the DMK, but that the current regime’s own production is only 34 percent of total supply.
Palaniswami condemned the Rs 35‑per‑unit purchase, blaming a lack of administrative skill and suggesting possible corruption, while recalling power‑production schemes launched by former Chief Minister J. Jayalalithaa in 2011.
How it came about
The purchase follows a shortfall after the NLC contract failed to deliver the expected power and wind output collapsed, prompting the minister to act to avoid rolling blackouts during the summer peak.
Key facts
- Tamil Nadu will buy 1,500 MW of electricity at Rs 35 per unit for peak‑hour use (deccanchronicle.com)
- The purchase is expected to cost an additional Rs 5 crore, not the Rs 1 lakh crore loss alleged by opposition (deccanchronicle.com)
- Wind generation fell from 3,500 MW to 500 MW amid high October temperatures (deccanchronicle.com)
- Former CM Palaniswami and ex‑minister Senthil Balaji criticised the purchase as financially risky (deccanchronicle.com)
- Minister Nirmal Kumar said the measure is temporary and long‑term contracts will be sought later (deccanchronicle.com)
Sources
- [1] deccanchronicle.com — originally reported as “Power Purchase Only For Peak Hours To Avoid Outages: Nirmal Kumar”
