THE TOTAL INSTALLED GENERATION CAPACITY OF THE TOTAL INSTALLED GENERATION CAPACITY OF TAMIL NADU AS ON 30.04.2009 TAMIL NADU AS ON 30.04.2009
TNEB’s own generating stations(Hydel, Thermal, Gas and wind)
5690 MW
Private Sector Power Plants (IPP) 1180 MW
Shares from Central Sector Generating Stations 2825 MW
External Assistance (Eastern Grid) 305 MW
Others ( Captive Power Plants) 214 MW
Total 10214 MW
RENEWABLE RENEWABLE OR OR
NON-CONVENTIONAL ENERGY SOURCESNON-CONVENTIONAL ENERGY SOURCES Wind Mill Private (infirm) 4310.615 MW
Co-Generation 466.100 MW
Bio-mass 109.550 MW
Total (Renewable sources ) 4886.265 MW
INSTALLED CAPACITY AND PERCENTAGE OF INSTALLED CAPACITY AND PERCENTAGE OF INSTALLED CAPACITY AS ON 30.04.09INSTALLED CAPACITY AS ON 30.04.09
Year Central Sector
State Sector
Wind Energy
Merchant Power Plant
Total
2009 – 10 1124 33 500 - 1157
PROPOSED CAPACITY ADDITION PROPOSED CAPACITY ADDITION DURING 2009-10DURING 2009-10
in MW
PROPOSED CAPACITY ADDITION PROPOSED CAPACITY ADDITION DURING NEXT 5 YEARSDURING NEXT 5 YEARS
Year Central Sector
State Sector
Wind Energy
Merchant Power Plant
Total
2010 – 11 1174 660 600 - 2434
2011 – 12 717 1200 500 2600 5017
2012 – 13 847 --- 500 5000 6347
2013 – 14 760 600 500 5000 6860
2014 – 15 --- 2200 400 5540 8140
Total 3498 4660 2500 18140 28798
in MW
22
PROPOSED CAPACITY ADDITION PROPOSED CAPACITY ADDITION DURING 2009-10 - DURING 2009-10 - Central SectorCentral Sector
Sl.No Project Name Type Capacity/ Share in
MW
Expected Commissioning
1. Kaiga APP Stage-II Unit-2 (220 MW)
Nuclear (Share)
36 December 2009
2. Neyvel TS-II Expansion Unit-I (250 MW)
Thermal (Share)
163 February 2010
3. Kudankulam APS Unit-1 & 2
Nuclear (Share)
925 December 2009 & March 2010
PROPOSED CAPACITY ADDITION PROPOSED CAPACITY ADDITION DURING 2009-10 - DURING 2009-10 - State SectorState Sector
Sl.No Project Name Type Capacity/ Share in
MW
Expected Commissioning
1. Periyar vaigai SHEP -I (2x2 MW)
Hydel 4 December 2009
2. Periyar vaigai SHEP -II (2x1.25 MW)
Hydel 2.5 December 2009
3. Periyar vaigai SHEP -III toIV(2x2 MW)
Hydel 4 December 2009
4. Periyar vaigai SHEP - IV (2x1.25 MW)
Hydel 2.5 December 2009
5. Bhavani Barrage- I (2x5 MW)
Hydel 10 February 2010
6. Bhavani Barrage- II (2x5 MW)
Hydel 10 February 2010
Total 33
PROPOSED CAPACITY ADDITION PROPOSED CAPACITY ADDITION DURING 2010-11 - DURING 2010-11 - Central SectorCentral Sector
Sl.No Project Name Type Capacity/ Share in
MW
Expected Commissioning
1. NTPC – TNEB at Vallur Stage-I (2X500 MW)
Thermal (Share
750 Unit-1 Aug-2010Unit-2 Jan-2011
2. PFBR Kalpakkam (2 X 250 MW)
Nuclear (Share)
167 2010-2011
3. Simhadri Stage-II (2 X 500 MW)
Thermal (Share)
95 Unit-III Nov-2010
4. Neyveli TS Unit-II (1 X 250 MW)
Thermal (Share)
162 Jun 2010
PROPOSED CAPACITY ADDITION PROPOSED CAPACITY ADDITION DURING 2010-11 - DURING 2010-11 - State SectorState Sector
Sl.No Project Name Type Capacity/ Share in
MW
Expected Commissioning
1. Bhavani Kattalai Barrage – II (2 X 15 MW)
Hydel 30 December 2010
2. Bhavani Kattalai Barrage – III (2 X 15 MW)
Hydel 30 March 2010
3. North Chennai TPS Stage – II (1 X 600 MW)
Thermal 600 Unit-1 December 2010
Total 660
PROPOSED CAPACITY ADDITION PROPOSED CAPACITY ADDITION DURING 2011-12 - DURING 2011-12 - Central and State Central and State
SectorSectorSl.No Project Name Type Capacity/
Share in MW
Expected Commissioning
1. NTPC – TNEB Vallur Stage –II ( 1 X 500 MW)
Thermal (Share)
375 Unit-3 Jul 2011
2. NLC – TNEB Tuticorin (2X500 MW)
Thermal (Share)
247 Unit-1 Mar 2012
3. Simhadri Stage-II (2X500 MW)
Thermal (Share)
95 Unit-4 May 2011
4. MTPS Stage-III Unit-1 (600 MW)
Thermal 600 Jul 2001
5. NCTPS Stage – II Unit-2 (600 MW)
Thermal 600 Unit-2 Jun 2011
Total 1917
PROPOSED CAPACITY ADDITION PROPOSED CAPACITY ADDITION DURING 2012-13DURING 2012-13
Sl.No Project Name Type Capacity/ Share in
MW
Expected Commissioning
1. NLC-TNEB at Tuticorin Unit-2 (2 X 500MW)
Thermal (Share)
247 Aug 2012
2. TNEB – BHEL at Udangudi Unit- 1(2 X 800 MW)
Thermal (Share)
600 Mar 2013
Total 847
PROPOSED CAPACITY ADDITION PROPOSED CAPACITY ADDITION DURING 2013-14DURING 2013-14
Sl.No Project Name Type Capacity/ Share in
MW
Expected Commissioning
1. TNEB – BHEL at Udangudi Unit - 2 (2 X 800 MW)
Thermal (Share)
600 Unit-2 Sep 2013
2. Krishnapatnam (AP) UMPP ( 5 X 800 MW)
Thermal (Share)
160 Sep 2013
3. Ennore Annexe (1X600MW)
Thermal 600 Sep 2013
PROPOSED CAPACITY ADDITION PROPOSED CAPACITY ADDITION DURING 2014-15DURING 2014-15
Sl.No Project Name Type Capacity/ Share in
MW
Expected Commissioning
1. Kattupalli UMPP(5 X 800 MW)
Thermal 1600 2014-15
2. NCTPS Stage III (1X600MW)
Thermal 600 2014-15
Total 2200
Power Evacuation System 2009-10Power Evacuation System 2009-10
Sl.No Name of Line Approx. Length
(in c. km)
Approx. Cost
(Rs. in lakhs)
1.Kudankulam
a. Kudankulam-Abishekapatty 2 Nos. 400KV DC (Quad) Line)
Executed by PGCIL
b. Abishekapatty-Thrissur 2 Nos. 400 KV DC Line
c. Abhishekapatty-Myvadi 400 KV DC Line
d. Abishekapatty-Edaman
e. LILO of Chekkanurani-Trivandrum at Abhishekapatty 400 KV SS
Commissioned
Power Evacuation System 2009-10Power Evacuation System 2009-10
Sl.No Name of Line Approx. Length
(in c. km)
Approx. Cost
(Rs. in lakhs)
2.Neyveli TS II – Expansion
a. Neyveli TS II – Pugalur400 KC DC Line
Executed by PGCIL
b. Pugalur – Chekkanurani 400 KV DC Line
Commissioned
c. Arasur-Myvadi 400 KV DC Line
Executed by PGCIL
d. Pugalur 400/230 KV SS Executed by PGCIL
Power Evacuation System 2009-10Power Evacuation System 2009-10
Sl.No Name of Line Approx. Length
(in c. km)
Approx. Cost
(Rs. in lakhs)
3. Bhavani Barrage PH I (2 X 5 MW) LILO of Pykara – Mettupalayam Bhavani Barrage I 110 KV DC
15 486.90
4. Bhavani Barrage PH II (2 X 5 MW) LILO of Mettupalayam – Irumborai at Bhavani Barrage II 110 KV DC
5 162.30
5. Periyar – Vaigai HEP – I to IV Barrages Gullapa Govindapatty 110/22 KV SS 22 KV link line
Power Evacuation at 22 KV to be executed by O&M
Power Evacuation System 2010-11Power Evacuation System 2010-11
Sl.No Name of Line Approx. Length
(in c. km)
Approx. Cost
(Rs. in lakhs)
1. NTPC-TNEB Joint Venture – North Chennai
a. DC Line Vallur TPS – Alamathi 400 KV Line
Executed by PGCIL
b. DC Line Vallur TPS – Melakottaiyur 400 KV Line
Executed by PGCIL
c. DC Line Tiruvalam – Chittor 400 KV Quad Line
Executed by PGCIL
d. DC Line Tiruvalam – Singarapet 400 KV Quad Line
100 14000.00
e. DC Line Tiruvalam – Alamathi 400 KV Line
70 9880.00
Power Evacuation System 2010-11Power Evacuation System 2010-11Sl.No Name of Line Approx.
Length (in c. km)
Approx. Cost
(Rs. in lakhs)
2. Kalpakkam PFBR
a. DC Line Kalpakkam PFBR-Siruseri Executed by PGCIL
b. DC Line Kalpakkam PFBR-Arni
c. DC Line Kalpakkam PFBR-Kanchi
3. Simhadri Stage-II (2X500MW) Unit-I DC Line LILO Vizag-Vermagiri 400 KV Line
Executed by Central Sector
4. North Chennai TPS Stage II
a. DC Line, NCTPS II- Alamathi 400 KV Line 68 11966.00
b. DC Line, NCTPS II- SV Chatram 400 KV Line 168 18296.00
c. DC Line, NCTPS II- TNEB JV 400 KV Line 8 912.00
Power Evacuation System 2010-11Power Evacuation System 2010-11
Sl.No Name of Line Approx. Length
(in c. km)
Approx. Cost
(Rs. in lakhs)
5. Bhavani Kattalai Barrage II 110 KV SC Line BKB II –Pallipalayam110 KV SC Line BKB II– Thiruchengod
23 416.30
6. Bhavani Kattalai Barrage III 110 KV SC Line BKB III –Nallur110 KV SC Line BKB III– Kabilarmalai
15 272.70
Wind Evacuation System 2010-11Wind Evacuation System 2010-11
Sl.No Name of Line Approx. Length
(in c. km)
Approx. Cost
(Rs. in lakhs)
1. Kanarpatty 400/230 KV SS (TNEB) Kanarpatty-Abishekapatty – 400 KV DC Quad Line
30 14335.32
2. 230 KV DC Line Kanarpatty-Maranthy
25 3175.88
3. 230 KV DC LineKanarpatty-Sayamalai
25 3229.00
4. LILO of 230 KV Line Ponnapuram-Palladam at Velarsi Vadamalaipalayam
22 2187.69
Wind Evacuation System 2010-11 - Wind Evacuation System 2010-11 - ContdContd
Sl.No Name of Line Approx. Length
(in c. km)
Approx. Cost
(Rs. in lakhs)
5. Vannikonandal LILO of one of the circuits of Kayathar Chekkanurani-230 KV Line
100 4181.00
6. Nallamanickenpatti-Vannikonandal 230 KV SC Lin
16 426.00
7 SamugarangapuramKanarpatty-Samugarangapuram 230 KVSC Line
80 2132.00
8 Samugarangapuram-Kayathar 230 KV SS – 230 KV SC Line
100 2665.00
9. KethanurLILO of Palladam – Ingur 230 KV DC Line
40 1672.00
Additional Lines 2010-11Additional Lines 2010-11
Sl.No Name of Line Approx. Length
(in c. km)
Approx. Cost
(Rs. in lakhs)
1. LILO of Sriperumbudur-Kalivanthapattu400 KV SC Line at SunguvarChatram
11 1100.00
230 KV Lines
2. 230 KV SC Line, Sankaneri – Kanarpatty 80 2132.003. DC Linking of Kudankulam Startup – TTPS 230
KV SC Line at Suitable Location and rearranging in such a way to connect the TTPS end to Kanarpatty SS and Kudankulam Startup bus to Samugarangapuram SS in order to avoid wind power injection at TTPS Bus
80 2132.00
4. BasinBridge (GMR) – TNEB HQ) OCF – 230 KV SC Line UG
24 1723.00
Additional Lines 2010-11 – Additional Lines 2010-11 – Contd.Contd.
Sl.No Name of Line Approx. Length
(in c. km)
Approx. Cost
(Rs. in lakhs)
5. Arasur-Karamadai 230 KV SC Line 48 1106.00
6. Arasur-Palladam 230 KV SC Line 35 807.00
7. Arasur 400/230 KV SS – Arasur 230 KV SS 24 376.00
8. LILO of Pugalur – Palladam 230 KV SC Line 50 1332.00
9. LILO of Pugalur – Alandur 230 KV SC Line 120 3198.00
10. Mayvadi-Othakalmandapam and Othakalmandpam 2nd Circuit 230 KV Line
115.60 2327.34
Additional Lines 2010-11 – Additional Lines 2010-11 – Contd.Contd.
Sl.No Name of Line Approx. Length
(in c. km)
Approx. Cost
(Rs. in lakhs)
11. Karaikudi 400 KVSS–Sempatty 230 KVSC Line 140 4228.00
12. Tuticorin Sipcot – Chekkanurani 230 KV SC Line 130 3464.5013. Abishekapatty-Udayathur 230 KV SC Line 95 2869.0014. Palladam-Othakalamandapam 230 KV SC Line 50 1332.00
15. Kalivanthapattu-Kadaperi 230 MC/DC Line 99.6 5273.57
16 Kalivanthapattu-Veerapuram 230 KV SC Line 23.4 666.00
17. Valuthur – Paramakudi 230 KV SC Line 50 1133.50
18. Rearrangingof MTPS – Malco line in such a way to form MTPS – Govi and Malco – Pallakapalayam 230 KV SC Line
130 3464.00
Additional Lines 2010-11 – Additional Lines 2010-11 – Contd.Contd.
Sl.No Name of Line Approx. Length
(in c. km)
Approx. Cost
(Rs. in lakhs)
19. LILO of one of the Tondiarpet-Mylapore at BasinBridge 230 KV DC
2 84.00
20. Neyveli Zero Unit-Ulundurpet 230 KV SC Line 25 666.00
21. Villupuram-Ulundurpet 230 KV SC Line 52 1385.00
22. LILO of MTPS-Gobi 230 KV SC Line at Anthiyur 230 KV SS
92 2451.80
23. LILO of Sriperumbudur-Koyambedu SC Line at Guindy 230 KV SS
26 692.00
24 LILO of Tondiarpet-BasinBridge at Vyasarpadi SS
2 52.30
25. Alamathi-Vyasarpadi 230 KV SC Line 30 799.50
Additional Lines 2010-11 – Additional Lines 2010-11 – Contd.Contd.
Sl.No Name of Line Approx. Length
(in c. km)
Approx. Cost
(Rs. in lakhs)
26 LILO of Kundah III – PUSHEP 230KV DC Line at Karamadai SS
2 83.62
27. LILO of Arasur-Ingur at Karamadai SS 6 250.00
28. LILO of one of the circuits of Amathapuram-Chekkanurani at Nallamanickempatti 230 KV DC Line
16 669.00
Power Evacuation System 2011-12Power Evacuation System 2011-12
Sl.No Name of Line Approx. Length
(in c. km)
Approx. Cost
(Rs. in lakhs)
1. NTPC – TNEB JV North Chennai Scheme mentioned in Unit I & II (2010-11)
Covered in 2010-11
2. NLC – TNEB JV Project (Tuticorin)400 KV DC Quad Line from JV Project to Chekkanurani
Executed by PGCIL
3. Simhadri Stage II (2 X 500 MW) Unit II Scheme already mentioned in Unit-I
Executed by Central Sector
4. North Chennai TPS Stage II Scheme mentioned in Unit I (2010-11)
Covered in 2010-11
Power Evacuation System 2011-12 – Power Evacuation System 2011-12 – Contd.Contd.
Sl.No Name of Line Approx. Length
(in c. km)
Approx. Cost
(Rs. in lakhs)
5. MTPS Stage III
400 KV (TNEB)
a. 400 KV DC Line MTPS – Arasur 280 17630b. 400 KV DC Line MTPS–Singarpet 400 KVSS 200 12593
230 KV (TNEB)
a. 230 KV DC Line LILO of MTPS –Gobi 230 KV SC Line at MTPS Stage III
85 3554
b. 230 KV DC Line – LILO of Malco – Pallkapalayam 230 KV SC Line at MTPS Stage III
50 2091
Wind Evacuation System 2011-12Wind Evacuation System 2011-12Sl.No Name of Line Approx.
Length (in c. km)
Approx. Cost
(Rs. in lakhs)
1. Kayathar 400/230-110 KV SS (TNEB)
i. 400 KV DC Line – Kanarpatty – Kayathar 18 4200
ii. 400 KV Kayathar-Karaikudi DC Quad Line 200 2800
iii. 400 KV Karaikudi-Pugalur DC Quad Line 250 35000230 KV Lines
i. 230 KV DC Line Kayathar 400 KV–Valliyur SS 80 3344ii. 230 KV DC Line, LILO of Kayathar –
Anuppankularm SC Line at Kayathar 400 KVSS5 209
iii. 230 KV DC Line, LILO of Kayathar –Pasumalai SC Line at Kayathar 400 KVSS
5 209
230 KV Lines to be Executed by TNEB 230 KV Lines to be Executed by TNEB for 230/33 KV SS to be Executed by for 230/33 KV SS to be Executed by
MPP -2011-12MPP -2011-12Sl.No Name of Line Approx.
Length (in c. km)
Approx. Cost
(Rs. in lakhs)
1. PanneerkulamLILO of one circuit of Kayathar – Chekkanurani DC Line at Panneerkulam
230 KV SC Line Panneerkulam – Chekkanurani
7
100
332
2665
2. Villiseri LILO of Second Circuit of Kayathar-Chekkanurani DC Line at Villiseri
250 10500
3. PeriyapattyLILO of Myvadi-Othakalamandapam SC Line at Periyapatty
80 3344
230 KV Lines to be Executed by TNEB 230 KV Lines to be Executed by TNEB for 230/33 KV SS to be Executed by for 230/33 KV SS to be Executed by
MPP -2011-12 – MPP -2011-12 – Contd.Contd.Sl.No Name of Line Approx.
Length (in c. km)
Approx. Cost
(Rs. in lakhs)
4. Vagarai230 KV DC Line LILO of Udumalpet-Sempatty SC Line at Vagarai
50 2905
5. Kumarapuram230 KV SC Line Kanarpatty – Kumarapuram 35 1463
6. Vagai Kulam230 KV DC Line Vagaikulam – Sayamalai 15 627
7. Sankaralinkapuram230 KV DC Line Sankaralingapuram-Kumarapuram
30 129
Other Proposed Lines - 2011-12Other Proposed Lines - 2011-12
Sl.No Name of Line Approx. Length
(in c. km)
Approx. Cost
(Rs. in lakhs)
1. Karamadai 400/230 KV SS (TNEB)
400 KV DC Line, Arasur- Karamadai
LILO of Kundah – Thudialur SC Line at Karamadi
230 KV SC Line Thudialur – Karamadai
80
10
7
11200
418
186
Other Proposed Lines - 2011-12 – Other Proposed Lines - 2011-12 – Contd.Contd.
Sl.No Name of Line Approx. Length
(in c. km)
Approx. Cost
(Rs. in lakhs)
2. Singarpet 400/230 KV SS (TNEB)
400 KV 400 KV DC Line, Singarapet-Hosur 170 21155
LILO of Pugalur-Ottiambakkam DC Line at Singarapet
16 2240
230 KV DC Line, Singarapet 400 KV SS – Singarapet 230 KV SS
85 3553
SC Line, Singarapet 400 KV SS – Singarapet 230 KV SS
135 3598
SC Line, Singarapet 400 KV SS – Vinnamangalam 230 KV SS
165 4398
Power Evacuation System 2012-13Power Evacuation System 2012-13
Sl.No Name of Line Approx. Length
(in c. km)
Approx. Cost
(Rs. in lakhs)
1. TNEB – BHEL JV at Udangudi (2 X 800 MW) Unit-1
To be Evacuated by PGCIL at 765 KV
2. NLC – TNEB at Tuticorin To be Evacuated by PGCIL
Power Evacuation System 2013-14Power Evacuation System 2013-14
Sl.No Name of Line Approx. Length
(in c. km)
Approx. Cost
(Rs. in lakhs)
1. TNEB – BHEL JV at Udangudi (2 X 800 MW) Unit-1
To be Evacuated by PGCIL at 765 KV
2. Krishnapatnam (AP), UMPP (4000 MW)(5 X 800 MW)
Executed by Central Sector
3. ETPS Annexe230 KV DC Line on MC Towers, ETPS Annexe-Korattur lake
20 836
Korattur Lake – Ambattur Industrial Estate 230/110 KV SS – DC Korattur lake to Guindy (UG)
144 2340
Power Evacuation System 2014-15Power Evacuation System 2014-15
Sl.No Name of Line Approx. Length
(in c. km)
Approx. Cost
(Rs. in lakhs)
1. Kattupalli – UMPP (5 X 800 MW) Unit-1
Evacuation Scheme to be finalised
2. NCTPS Stage III (600 MW) Environmental Clearance under
study
Investment Required for Investment Required for Power Evacuation SystemPower Evacuation SystemDuring Next Five Years During Next Five Years
Rs CrRs CrYear Cental
SectorState Sector
Wind Energy
Merchant Power Plant
Total
2010-11 To be evacuted by PGCIL at 400 /765 KV
1015.13 569.32 To be evacuted by PGCIL at 765 KV
1584.75
2011-12 826.16 565.79 1391.95
2012-13 31.76 141.63 173.39
2013-14 -- 141.63 141.63
2014-15 700.00 141.63 841.63
Total 2573.35 1560.00 4133.35
Investment Required for Investment Required for Transmission SchemesTransmission Schemes
For Next Five YearsFor Next Five YearsYear Investment tp be
made by TNEB for new Power
Evacuation Lines (Rs. In crores)
Investment proposed for other T&D
Schemes(Rs. in crores)
Total Investment required
2010-11 1584.75 1200.00 2784.75
2011-12 1391.95 1440.00 2831.95
2012-13 173.39 1728.00 1901.39
2013-14 141.63 2074.00 2215.63
2014-15 841.63 2489.00 3330.63
Total 4133.35 8931.00 13064.35
TRANSMISSION FIXED ASSETS TRANSMISSION FIXED ASSETS VALUE AS ON 31.03.2008 (Rs.in VALUE AS ON 31.03.2008 (Rs.in
Crores)Crores)
GROSS ASSETS : Rs. 6017.42GROSS ASSETS : Rs. 6017.42
DEPRICIATION : Rs. 2333.38DEPRICIATION : Rs. 2333.38
NET VALUE : Rs. 3684.04NET VALUE : Rs. 3684.04
AVENUES FOR INVESTMENTS
Permitting private operator on “Build, Own Operate and Maintain” basis
Joint venture with private operators
Joint venture with financial institutions
Funding by financial institutions
Permitting private operator
ADVANTAGES
Selection through competitive bidding
Total risk of completion/execution of project rests with the operator
Total risk of availability lies with the operator
Deployment of technology and expertise possible
PROCEDURES FOR SELECTION OF PROCEDURES FOR SELECTION OF PRIVATE OPERATORSPRIVATE OPERATORS
Identify the projectIdentify the project Selection of developers thro’ Tariff Selection of developers thro’ Tariff
based competitive bidding.based competitive bidding. Appoinment of BPCAppoinment of BPC Short listing thro’ RFQShort listing thro’ RFQ Signing of TSASigning of TSA
• Monthly transmission charges – Monthly transmission charges – Escalable Escalable charges and non – escalable charges and non – escalable chargescharges
•Incentive - For availability of above Incentive - For availability of above 98%98%
•Penalty - For availability of less than Penalty - For availability of less than 95%95%
PROCEDURES FOR SELECTIONPROCEDURES FOR SELECTION OF PRIVATE OPERATORS- Cont.OF PRIVATE OPERATORS- Cont.
JOINT VENTURE WITH PRIVATE OPERATORS
ADVANTAGES Increased requirement of equity can be met
through the investor
Possible to get technology and expertise DISADVANTAGES Finding a private operator - cumbersome
process
Possibility of mutual conflict
Cost of capital likely to be high
DISADVANTAGES
Likely to be a costlier option
Utilities continue to pay for 25 years at the escalated rate
No buy back
Flexibility for transmission utility absent
JOINT VENTURE WITH FINANCIAL INSTITUTIONS
ADVANTAGES
Increased requirement of equity can be met through the investor
Easy to find partner
DISADVANTAGES
Possibility of mutual conflict
Cost of capital likely to be high
Likely conditionalities
FUNDING BY FINANCIAL INSTITUTIONS
ADVANTAGES The cost of capital is the least
Less conditionalities
Full exploitation of available expertise
Ensure continuous growth of utility
DISADVANTAGES Mustering equity
Ability to complete the project on time
Ability to maintain availability
FEASIBILITY OF EXECUTION BY THE UTILITY
PREREQUISITES
Financial Capability
Technical Capability
Administrative Capability
FINANCIAL CAPABILITY
Assumptions
Gross asset as on 31/03/08 : Rs 6017 Crs
Equity (30%) : Rs 1805 Crs
Outstanding Loan : Rs 1878 Crs
ROE (17.48%) : Rs 315 Crs
Investment from 2009-10 taken separately
Study of financial capability
2009-10 2010-11Investment 972 2784.75
Capital cost 6017.42 Crs 972 6017.42 3700.18
Notional Equity 1805.22 Crs 291.6 1805.22 658.15
Notional loan 4212.19 Crs 680.4 1521.84 2447.36
Cumulative Depreciation 2333.38 Crs 56.57 2553.25 218.64
Outstanding Loan 1690.93 Crs 680.4 1521.84 2447.36
Repayment 169.09 Crs 68.04 152.18 244.73
Closing Loan 1521.84 Crs 612.36 1369.65 2202.62
average Loan 1606.38 Crs 646.38 1445.74 2447.36
debt/equity ratio 0.62
Return on Equity 17.481% 50.97 315.57 115.05
Study of financial capability
2011-12 2012-13 2013-14
Investment 2831.95 1901.39 2215.63
Capital cost 6017.42 6313.48 6017.42 7831.41 6017.42 9609.49
Notional Equity 1805.23 1088.77 1805.23 1594.67 1805.23 2189
Notional loan 1369.65 4603.96 1232.69 5539.05 1109.42 6606.44
Cum. Depreciation 2773.13 383.46 2993.01 437.55 3212.87 566.5
Outstanding Loan 1369.65 4603.96 1232.69 5539.05 1109.44 6606.44
Repayment 136.97 460.39 123.27 553.9 110.94 660.64
Closing Loan 1232.69 4143.56 1109.42 4985.15 998.50 5945.8
debt/equity ratio 0.48 0.5 0.52
Return on Equity 315.570 190.326 315.570 278.77 315.570 382.66
INFERENCE
Debt / Equity ratio remains above 43%
Assured O & M Charges sufficient to cover other expenses.
TECHNICAL CAPABILITY
ADVANTAGES
Rich experience in executing 400 KV Sub Station and lines.
Availability of qualified professionals .
DIS ADVANTAGES
Not well suitable for project management
Difficult to bring in outside expertise
ADMINISTRATIVE CAPABILITY
ADVANTAGES
Well Structured
Proven system
Committed Work Force
DISADVANTAGES
Tedious Time consuming Procedures
Resistance to change with time
Frequently changing leadership
COMPARISON OF OTHER TRANSMISSION UTILITIES
S.No
DESCRIPTION TNEB PGCIL KPTCL APTRANSCO
1 Total Sub Stations
694 120 382 367
2 Total EHT lines in circuit KM
21000 71500 36553 30450
3 Total employees 12500 7500 4000
4 Total revenue from operation Rs.in Crs.
6676
5 Employee cost Rs in Crs
375 644 223
6 Equity Rs in Crs. As on 31/03/08
315 420
7 Debt Equity ratio 38 : 62 66 : 24