Tamil Nadu announces ₹33,066 crore transmission overhaul and new 1,600 MW thermal plant in Tuticorin
Tamil Nadu Chief Minister C Joseph Vijay on Monday announced a multi-crore infrastructure push spanning power, semiconductors, and logistics across the state. Unveiling major investments to boost the state's power grid, manufacturing base, and tech ecosystem, he said ₹33,066 crore has been earmarked for the Tamil Nadu Transmission Improvement Scheme to set up 196 new substations and lay 15,000 km of power lines.
A 1,600 MW Super Critical Thermal Power Station will be set up in Tuticorin through Public-Private Partnership (PPP) model, involving an investment of ₹20,800 crore, he said.
Making the announcements under Rule 110 in the Assembly, Chief Minister C Joseph Vijay said the state needed world-class power infrastructure to meet its growing economy and rising electricity demand. The proposed Tuticorin project will comprise two 800MW units and will be implemented under the PPP model. The new facility will gradually replace the existing five 210MW coal-fired units at the Tuticorin thermal power station, which have been commissioned in phases since 1979.
“To effectively handle the continuously increasing power load and meet the growing demand, investments in the power generation sector are essential,” Vijay said.
The government said Tamil Nadu’s renewable energy capacity, including wind and solar power, was expanding rapidly, but generation from these sources was not available uniformly through the day. While battery storage capacity was being developed to store surplus renewable power for use during peak periods, thermal generation would continue to be required to ensure uninterrupted supply during periods of high demand.
The transmission overhaul will include 196 new substations and 15,000km of new transmission lines, besides strengthening existing networks to evacuate power from generating stations to major consumption centres such as Chennai. For Chennai’s distribution network, the government announced ₹1,762 crore worth of works, including 36 new 33/11kV substations, new distribution transformers and replacement of ageing cables, conductors, pillar boxes and circuit breakers.
“A comprehensive power infrastructure equipped with advanced technology is essential for Tamil Nadu's growing economy and increasing power consumption,” Vijay said.
The announcement was published on August 31, 2026.