As mercury rises in Tamil Nadu, so does demand for electricity

Electricity demand and consumption in Tamil Nadu are on the rise with the rise in temperature. Peak demand has crossed 16,000 MW in the last three days, as the temperature crossed 37 degree Celsius in several districts, including Chennai.

A source in power utility Tangedco said that after 6 pm, the use of ACs has increased, leading to the increased demand. Chennai’s power demand is around 3,500 MW, which is more or less equal to that of the entire state of Kerala.

Tamil Nadu set a state record on April 10, 2021, when the peak demand touched 16,845.5 MW. This month, the demand crossed 16,100 MW, and is expected to cross 17,000 MW in the coming days.

“We have been facing increasing demand as many people, after returning home from work, start using the air conditioners. In Chennai the demand is on the rise after 6 pm,” a Tangedco official said.

Commercial use soaring, too

Demand from industries and commercial connections have also increased. “With the opening of the economy after the lockdowns, it is only now the demand from industries and establishments has started to increase. It shows that the factories are working more shifts,” the official said.

For Tangedco, the demand provides an opportunity to increase its revenues. “The 2020 lockdown affected the financials of Tangedco as power consumption declined. In 2020-21, only ₹51,882.95 crore was collected, against ₹56,295.39 crore in 2019-20,” the Tangedco official said.

“Only domestic demand was there between April and August 2020 as all factories, companies, offices, shops and establishments were closed.”

Coal shortage

Meanwhile, Tangedco is once again facing coal shortages at its thermal plans with the discom not able to receive coal from Paradip port in Odisha due to nonavailability of berths. Sources said earlier this month that only five days of coal stocks were available in the Mettur and Tuticorin plants.

“A large number of ships are stranded in Paradip Port due to nonavailability of berths. We are not able to get berths for our ships. Due to this coal supply to Mettur and Tuticorin units has been hit,” another Tangedco official had said earlier.

However, this is not expected to affect power supply. Apart from Tangedco’s own thermal units, the discom gets power from Central thermal and nuclear units.

CAG report criticises discom over meters

In another development, Tangedco is facing the ire of the Comptroller and Auditor General (CAG), which has accused the discom of failing to install meters at the substation end. Payments to solar power generators (SPGs) are being made based on readings at the generating end, said the CAG.

Tangedco signed 25-year power purchase agreements (PPAs) with 86 SPGs between 2015 and 2019. The PPAs require the meters to be installed at the point of interconnection between the electrical system of the generating company and the transmission and distribution system at the cost of SPG.

“The audit observed that the SPG did not adhere to the PPA as well as other regulations by not installing meters at the interconnection point. Tangedco failed to ensure the installation of energy accounting meters at the substation end and the payment to the SPGs were being made on the energy recorded in meters installed at the generating end. The transmission loss was absorbed by Tangedco and subsequently the SPGs were paid for the power generated by them without deduction for the transmission loss,” the CAG report presented in the Tamil Nadu Assembly said.