Tamil Nadu Chief Minister C. Joseph Vijay on Monday, August 31, 2026, announced the establishment of a new supercritical thermal power station in Thoothukudi at an estimated cost of ₹20,800 crore, along with a ₹33,066-crore Tamil Nadu Transmission Improvement Scheme aimed at strengthening power transmission to major consumption centres, including Chennai.
The Chief Minister also announced a ₹1,762-crore project to improve power distribution infrastructure in Chennai.
Making a suo motu statement in the Assembly, Mr. Vijay said the Transmission Improvement Scheme would involve the creation of 196 new substations and transmission lines covering 15,000 km. The existing transmission network would also be strengthened under the scheme.
Focus on renewable energy and grid infrastructure
Mr. Vijay said Tamil Nadu had emerged as a leader in the renewable energy sector, with the State focusing on wind, solar and battery power. However, he noted that electricity generation from these sources was not uniform.
According to the Chief Minister, technology was being developed to store surplus electricity generated from renewable sources in batteries and utilise it at night when required. However, he said the existing infrastructure was not sufficient to meet the State’s power requirements at all times.
Mr. Vijay said thermal power would continue to be required to ensure uninterrupted electricity supply during periods of heavy demand, making it necessary to strengthen the State’s power infrastructure.
Thoothukudi thermal power capacity to be expanded
The Chief Minister said no efforts had been made during the last five years to attract investments in thermal and hydel power stations. He added that the capacity of the Thoothukudi Thermal Power Station, one of Tamil Nadu’s important power stations, would be increased.
The Thoothukudi Thermal Power Station currently has five thermal power units, each with a capacity of 210 MW, giving the station a total installed capacity of 1,050 MW. The units have been in operation since 1979 and were commissioned in phases.
Mr. Vijay said there was a plan to replace the existing units in line with environmental regulations governing thermal power stations.
Under the proposed plan, the existing 210-MW units would be replaced through the public-private partnership (PPP) model with two new units, each having a capacity of 800 MW. This would take the total capacity of the replacement units to 1,600 MW.
The proposed transmission, distribution and generation projects are aimed at strengthening Tamil Nadu’s power infrastructure and supporting reliable electricity supply across major consumption centres.
