CHENNAI: Mentioning several violations having taken place in the tenders and power purchase agreements executed by the electricity department during the previous regime, Minister for Energy Resources C T R Nirmal Kumar on Thursday stressed that the TVK-led government was committed to addressing all irregularities and allegations linked to the power sector, and ensuring transparency in the utility’s functioning.
Addressing media persons, the minister warned that stringent action would be taken against those found violating rules and misusing public money. “There will be no excuse for anyone involved in looting people’s money. The power sector should function for the welfare of the public and not for the benefit of individuals,” the minister said.
On the electricity department’s financial burden, Nirmal Kumar said the government’s immediate priority was to streamline the administration before initiating long-term financial reforms.
“The total debt burden of TNEB (Tamil Nadu Electricity Board) has crossed `2.5 lakh crore. Before taking measures to reduce the debt, our first priority is to bring administrative reforms and correct irregularities,” he told.
Alleging irregularities in procurement processes under the DMK regime, Minister Kumar said, “The previous government floated tenders to procure transformers at Rs 13 lakh per unit, whereas the actual market price is only about Rs 8 lakh. We want to correct such irregularities and ensure transparency in future procurement.”
On the shortage of manpower, he said that while the department’s sanctioned strength was about 1.40 lakh employees, nearly 70,000 are only working. “The government will take steps to fill vacancies in the power sector soon,” he added.
To queries on the “dominance” of brokers in wind and solar power projects, the minister said the government has already initiated corrective measures and would not permit middlemen to interfere in approvals linked to renewable energy projects.
“We will not allow brokers inside TNEB premises. A new online portal with proper tariff mechanisms will be introduced for developers who want to establish solar and wind power projects.
“Applications will be processed only through the online system, and approvals will not be granted based on recommendations,” he added.
Further, Minister Kumar said complaints on power outage in parts of the state had been received. Officials have been instructed to immediately attend to technical faults, he added.
Clarifying on possible tariff revision, Kumar said the government had no immediate plans to hike electricity tariff and urged people not to believe in rumours.
The existing multi-year tariff system linked to the Consumer Price Index (CPI) would continue, he added.