ADB, India sign agreement to strengthen power connectivity in Tamil Nadu
The Asian Development Bank (ADB) and the Government of India have signed a $451 million loan to strengthen power connectivity between the southern and northern parts of the Chennai–Kanyakumari Industrial Corridor (CKIC), which is part of the East Coast Economic Corridor (ECEC), in Tamil Nadu. ADB is the lead partner of the Government of India for developing ECEC.
The state government has identified quality infrastructure including a reliable power supply as a key prerequisite for its further economic development. The state is aiming to develop the northern Chennai–Tiruchirappalli area of CKIC as a manufacturing center while targeting the relatively poor southern Madurai–Thoothukudi portion for the development of renewable energy-based power generation because of the availability of wind and solar resources.
The project will help establish extra-high-voltage transmission link between Virudhunagar and Coimbatore to transfer the additional generation capacity of 9,000 megawatt (MW), including 6,000 MW from renewables, by 2025 to meet the increased power demand in the CKIC. This will help reliably evacuate power from these new power plants in the southern CKIC. The project will also build the operational capacity of TANTRANSCO, the state-owned company responsible for transmission, by supporting a financial restructuring plan, better facilities and work environment for women workers, and improved monitoring system for social and environmental impacts. To support this end, ADB has approved a complementary technical assistance grant of $650,000.
@EPC World Media