TNPDCL expects demand to rise by at least 6% next year, making short-term purchases inevitable

The emergence of CCTV footage has added a fresh dimension to the case

Chennai: Less than four months after electricity minister C T R Nirmal Kumar blamed previous govts for costly short-term power purchases that caused heavy losses to the state power utility, the Tamil Nadu Power Distribution Corporation Ltd (TNPDCL) has floated tenders for similar purchases over six months to meet demand in summer 2027.

The power purchase will be between Feb and July, extending beyond the practice of signing power purchase agreements till May 15. TNPDCL officials said purchases would range from 2,000 MW to 3,200 MW, depending on monthly demand and supply, officials said While the exact quantum is yet to be finalised. With day temperatures hovering at 35°C in most parts, the state is facing an extended summer in Oct. On Wednesday, Tamil Nadu’s power demand peaked at 20,018 MW, while consumption stood at 439.042 million units.

“With extended use of air-conditioners in homes, offices and factories, the power consumption is now like what we see in May,” an official said. Wind power generation typically picks up in the second half of May, while demand eases with the onset of the southwest monsoon in June. Power shortages have led to load shedding this year, with several areas, including parts of Chennai, facing frequent outages.

TNPDCL expects demand to rise by at least 6% next year, making short-term purchases inevitable, officials said. However, TNPDCL has not signed any new long- or medium-term power purchase agreements despite the minister’s June 25 promise, made while releasing a white paper on the state power utility, to secure cheaper power through longer contracts. Now, TNPDCL has contracts for 2,830 MW of long-term supply and 2,814 MW of medium-term supply.

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