Two new plants at 5000cr to power Greater Chennai area

29 June 2020

The Tamil Nadu government has ordered the preparation of a detailed project report to set up two re-gasified liquified natural gas-based power plants with a combined capacity of 1,460MW to supply power exclusively to Greater Chennai area. 

The projects are being planned at the site vacated by GMR at Basin Bridge. The two plants would cost Rs 5,000 crore. Imported gas for the plant will be provided by Indian Oil through the pipeline from Ennore refinery. At present, Tangedco has 516MW gas-based plants in the Cauvery delta basin and the dry belt of Ramanathapuram.

“We have appointed a consultant for preparing a detailed project report. Once Covid-19 subsides, things will move fast. We hope to have the two units running in the next three years,” said a senior Tangedco official.

The Basin Bridge units would be different from the ones that are already functional. “For the units in the Cauvery basin and Ramanathapuram, we are using gas from the same basin. But the one at Basin Bridge will use imported LNG,” said the official.

There is enough land in the area. The four units of GMR, each with a capacity of 46MW, were occupying about 30 acres. The GMR units initially used diesel as fuel and later the plants used low sulphur heavy stock. But in 2018, due to the high cost of fuel, the units were decommissioned. Pollution was another reason for the decommissioning, said the official.