TN electricity demand set to grow by 20% in 2014-15

Demand for power has increased to 12,500 MW from 10,500 MW

Electricity demand in Tamil Nadu is estimated to grow by around 20 per cent in 2014-15 as compared with last year. The demand in the current year is pegged at 91,642 million units as against 76,445 million units in 2013-14. Last year, this was higher by 14 per cent over that of the previous year.

Electricity minister Natham R Viswanathan said while the all India average usage per person was 917 units a year, in TN this stood at 1,196 units. Demand has increased to 12,500 Mw from 10,500 Mw.

Of the total demand, 37.38 per cent is met through the TN Electricity Board, 33.32 per cent from the Centre allocation, 16.28 per cent through long-term agreements and the balance through other sources.

To address the transmission loss, new substations are getting installed, the minister said, adding saving of one unit of power was equivalent to producing one unit.

In the last three-and-a-half years, 2,792.5 Mw capacity was added and five new power projects with 3,330 Mw were announced. Work on three projects have started and the remaining project would be taken up in a month.

The state has tied up for about 3,330 Mw for long-term supply from 11 private players at a levellised tariff of Rs 4.91 a unit, including 150 Mw from Jindal and 74 Mw from OPG.

TN has also entered into short-term agreements to procure 1,393 Mw at Rs 5.50 a unit within the state. It has also entered into short-term purchase agreements for about 773 Mw at Rs 4.93 a unit from outside the state but sources 150 Mw because of inadequate transmission infrastructure. During this period Kerala has tied up for power at Rs 5.88 a unit.

On Wednesday, TANGEDCO has entered into a 15 years power purchase agreement with Coastal Energen Pvt Ltd.