The Tamil Nadu Power Distribution Corporation Limited (TNPDCL) is planning to issue a tender soon to buy 1,500 megawatts (MW) of electricity under a medium-term contract. This move is aimed at preventing the purchase of expensive electricity during the summer months.
The decision comes after the Tamil Nadu Electricity Regulatory Commission (TNERC) gave approval for the TNPDCL to float a single medium-term tender for a period of five years. This tender will follow the finance, own, and operate (FOO) guidelines, allowing TNPDCL to procure the required power efficiently and at a reasonable cost.
By securing this medium-term contract, TNPDCL aims to ensure stable electricity supply to consumers and avoid high costs that usually occur during peak summer demand.