

CHENNAI: The Tamil Nadu Power Generation Corporation Limited has prepared feasibility reports for setting up a new 600 MW coal-based thermal power plant in Thoothukudi at an estimated cost of Rs 6,000 crore. After examining four possible sites, land near the existing thermal plant was considered the most viable.
A senior TNPGCL official told TNIE that former Electricity Minister V Senthil Balaji, during the 2025-26 state budget session, announced steps to establish a new thermal plant in Thoothukudi. “Following this, TNPGCL carried out feasibility studies on power generation, transmission and substation requirements in and around the town,” the official said. The reports will be submitted to the state government for approval, after which primary works will begin, he added.
Most thermal plants in the state are located in northern and western regions, forcing the southern districts to rely heavily on supply from other regions. “The proposed 600 MW project will strengthen local power generation, cut transmission losses and ensure reliable power for households, industries and agriculture, thereby boosting industrial growth in southern Tamil Nadu,” the official said.
The state’s peak demand touched 20,840 MW last year and is expected to grow by 6-7% annually. “To meet this demand, TNPGCL has planned new thermal projects with a combined capacity of 6,486 MW over the next five years,” another official said.
These include North Chennai Thermal Power Plant Stage III (1x800 MW), Udangudi Thermal Power Project Stage I (2x660 MW), Ennore SEZ Supercritical Thermal Power Project (2x660 MW) and the new Thoothukudi unit (600 MW). The North Chennai unit is almost ready for operation, while Udangudi plant is expected to begin functioning by year-end, the official added.