The Government of India (MNRE), introduced this scheme with the objective of meeting the total energy needs of unelectrified and remote hamlets using locally available Renewable energy sources. In Tamil Nadu, 4 hamlets in Krishnagiri, Dharmapuri and Dindigul Districts have been selected for implementation as test projects, through the District Forest Officers, for which 90% cost (Rs.49.54 lakhs) is provided by MNRE and the balance by the State Government. The work in Periakallupalli and Jodugarai in Krishnagiri District, Karapadi in Dharmapuri District have been completed. The work in Thenmalai in Dindigul District is nearing completion. The scheme involves collection of pungam seeds from adjoining forest areas, production of oil and use of the same as Biofuel for generation of electricity to supply power to the hamlets apart from construction of biogas plants to produce biogas to meet other energy needs, thereby achieving total energy security. MNRE has now selected 5 more hamlets in Tamil Nadu for implementation, under World Bank funded scheme.

The integrated Rural Energy Programme (IREP) which was earlier implemented in 21 blocks only was revamped by MNRE and extended to all the rural Districts in a State. The State Government has in 2005-06 approved the implementation in 14 Districts only with the sanction of Rs.145.00 lakhs mainly for scheme cost. The matching contribution of Rs.145.00 lakhs was also provided by MNRE towards staff and administrative expenses. The scheme involves the preparations of Detailed energy plans in selected 3 cluster of villages in each District by the District IREP Cell (in DRDA Office) with the assistance of local technical institutions as DTBU under the guidance of State level IREP Cell (in TEDA Office) and a Technical Institution as STBU. The scheme is under implementation now.

TEDA has been organizing Seminars and exhibitions to extend the use of Renewable energy and promote energy conservation among industries, local bodies and other Institutions. Consequently many Panchayats, made aware of the benefits of Solar Street lights, Home lights, Biomass gasifiers and biogas plants are keen to install them and reduce their recurring current charges. Further Energy Clubs have been formed in 120 Engineering Colleges, which help in making the students aware of the benefits of Renewable Energy and make them enthusiastic in their further development for easy applications in the day-to-day life of the people.

Rajiv Gandhi Renewable Energy Day on 20^th August is also being celebrated in all the Districts and at the State level, with rallies contest for students, cultural programmes, planting of sapling of Biofuel crops etc. On the occasion a booklet ‘Global War(n)ming’ compiled by TEDA was released. Its Tamil Version was earlier released on 22.4.2007, the "Earth Day".

Renewable Energy Parks are being set up in various institutions to create awareness among public on the uses of Renewable energy devices. Government of India (MNRE) provides subsidy at 75% cost of equipments for the first District level park and 50% for the second park in the same District. So far, 19 Energy Parks are functioning in 18 Districts. Further parks sanctioned by MNRE could not be set up due to certain conditions imposed by MNRE in its implementation. MNRE has been requested to revise the same.

Further a State Level Energy Park is being set up at Tamil Nadu Science and Technology Centre, Kotturpuram in Chennai with Rs.89.00 lakhs provided by MNRE towards the cost of the equipments and Rs.52.00 lakhs provided by the State Government for civil works.

Energy efficiency and conservation has become the most essential steps to be taken wherever the energy use is involved, in the present context of Global Warming and the need to reduce green house gas emissions caused by the increasing use of fossil fuels. The State Government has sanctioned an amount of Rs.6.5 lakhs towards replacement of 1000 Nos. Conventional Tube lights in the Street lights in local bodies by the Compact Fluorescent lamps (CFLs) which consume atleast 60% less energy than the tube lights during the year 2007-08. The scheme will be extended to more Panchayats in the coming years.

Use of Battery Operated Vehicles is another option to conserve petroleum products and control pollution due to Vehicular emission. These Vehicles run without Petrol, make no noise and are pollution free. They are ideally suited for taking the public for short distances in places like Zoo etc. The Government of India (MNRE) provides subsidy upto 33% of the cost of the vehicle for use by Institutions and other Public organization. In order to further encourage their use, the State Government sanctioned an amount of Rs.10.00 lakhs as additional State subsidy for 2 Nos. 16 seater Van to Vandalur Zoo during the year 2007-08.

The State Government has sanctioned an amount of Rs.5.00 lakhs for carrying out a study and collect datas on private wind mills installed in the State and their Performance during the year 2007-08.

Another Rs.8.00 lakhs has also been sanctioned for carrying out the performance evaluation study of the Renewable energy devices installed with Government subsidy. They are, the SPV Street lights, SPV Home lights, Solar Water Heating systems, Solar Air Heating systems and Toilet linked biogas plants installed during the period from 2002-03 to 2005-06.

TEDA has taken up the following R&D Projects, jointly with Anna University, at a total cost of Rs.40.00 lakhs shared equally by the State Government and Anna University.

Development of Solar Cooker based on Thermal Storage system for Cooking during night / early morning

Design and development of Energy efficient building using Solar Passive Architecture.

Design and development of Bagasse drying unit using waste heat from co-generation in sugar mills.

Under the Western Ghat Development Programme (WGDP),the Government has sanctioned an amount of Rs.29.70 lakhs for installation of 99 Nos. Solar PV Street lights in 3 Districts viz Coimbatore, Kanniyakumari and Theni Districts during the year 2007-08.

TEDA is facilitating the setting up of Special Economic Zone (SEZ) in Tamil Nadu, for the manufacture of Renewable energy devices, with the approval of Government of India. The State Government has signed an MoU on 14.7.2007 with the private promoters for setting up this Special Economic Zone first of this kind in the World, exclusively for Renewable Energy Projects in Chengleput Taluk, Kancheepuram District.

The Special Economic Zone is expected to attract over 40 manufacturers in the areas of biomass boilers, gasifiers, digesters, special gas engines, solar photovoltaic products / systems, solar thermal systems, wind turbines, hydro turbines and direct carbon fuel cells. An investment of over Rs.2300 Crores is expected from the participants with employment opportunities to 5000 people directly and 10000 people indirectly.

The Government has proposed to sanction a total outlay of Rs.75.40 lakhs for implementation of the following new schemes during 2008-09.

Electricity is a subject included in the concurrent list of Constitution of India Electricity Act, 2003 (Act 36 of 2003) has been made repealing the enactments of Indian Electricity Act, 1910, Electricity Distribution Act, 1948, the Electricity Regulatory Commission Act, 1998. The said Electricity Act, 2003, has come into force with effect from 10th June 2003.

From September 1961, the Electrical Inspectorate Department with Chief Electrical Inspector to Government, as Head was created as a separate Department. After the formation of Energy Department at Secretariat on 1.8.93, the Electrical Inspectorate has come under the administrative control of the Energy Department.

The Electrical Inspectorate Department is entrusted with the following duties and functions:-

1. Carrying out inspections and other services under Indian Electricity Rules, 1956, till regulations are made under the Electricity Act, 2003 (Act 36 of 2003) which has come into force on 10th June 2003.

2. Tamil Nadu Lift Act, 1997 and Tamil Nadu Lift Rules, 1997. For implementing Lift Act and Rules Government have taken various steps by giving advertisement in dailies.

3. Duties specified in Tamil Nadu Cinema (Regulation) Rules, 1957, in respect of Electrical Installation of Cinema Houses.

4. Functioning as Member of Technical Committee Bureau of Indian Standards, which make Indian Standards Specifications in Electro Technical Field.

5. The Chief Electrical Inspector to Government has to function as Ex-Officio President of the Tamil Nadu Electrical Licensing Board constituted under Rule 45 of the Indian Electricity Rules, 1956.

6. The Chief Electrical Inspector to Government has to function as the Ex-Officio President of the Government Board of Examiners for Cinema Operators constituted under Tamil Nadu Cinema (Regulation) Rules, 1957.

7. Energy is an essential input for social and economic development. This ever-increasing energy requirement is mostly met from the burning of more fossil fuel.

 

Energy Efficiency means availability of more resources. It offers a number of benefits, including improved use of national resources, reduced energy imports, improved balance of trade, conservation of foreign exchange, reduced capital requirement for new energy production facilities, and reduced environmental pollution from energy use and production.

In order to achieve this, Government of India has notified the Energy Conservation Act, 2001. As per powers conferred under Section 15(d) of the Act, Government of Tamil Nadu has already notified The Electrical Inspectorate as the "Designated Agency" to co-ordinate, regulate and enforce the provisions of the Energy Conservation Act, 2001 (Central Act 62/2001).

The Government of Tamil Nadu perceives Energy Efficiency Measures (EEM) as the feasible option to reduce CO₂ emission, which is the major contribution for global warming.

State Energy Conservation Fund has been constituted by the Government in 2007 for the implementation of schemes on energy efficiency measures by the State Designated Agency.

The Government of India and the Government of Tamil Nadu have accorded sanction and allocated funds in order to implement various Energy Conservation measures in the State of Tamil Nadu for the financial year 2007-2008.

Based on the above, the following schemes are undertaken by the Tamil Nadu State Designated Agency.

Ø a) Conducting awareness programmes for the public through visual and print Media.

 

b) Conducting training programme for officials of SDA and other Government Departments.

> Conducting energy audit in Government buildings and implementing Energy Efficiency measures.

 

Ø Establishment of Internet platform for interaction with other State SDAs and BEE.

 

Ø a) Date Bank creation among the BEE certified energy manager, energy auditors, energy intensive designated consumers.

 

b) Conducting refresher course and training on energy data filing for the above categorizes.

 

> Providing infrasture facilities to the SDA on IT & software for implementing energy conservation

Ø Observing National Energy Conservation day on 14th December

> Survey of widely used energy consuming consumer appliances such as flouresent lamps, Air conditioners, Refrigerators, distribution transformers etc., throughout the State of Tamilnadu.

 

The Government will ensure suitable measures for intensifying the above activities in the forth coming financial year 2008-2009.

1. Approval of High and Extra-High Voltage electrical installations of Generating Companies, Tamil Nadu Electricity Board and High Tension consumers under Rule 63 of Indian Electricity Rules, 1956.

2. Periodical inspection of High Tension installation of High Tension Consumers under Rule 46 of Indian Electricity Rules, 1956.

3. Periodical inspection of supplier's High and Extra High Voltage Installations, under Rule 46 of Indian Electricity Rules, 1956.

4. Receipt of intimation of all electrical accidents under Rule 44A of Indian Electricity Rules, 1956, in connection with the generation, transmission, supply or use of energy, inspection of the accident spot and preparation of report.

This Act has come into force on and from 16.06.2003, repealing the existing Tamil Nadu Electricity (Taxation on Consumption) Act, 1962 and Tamil Nadu Electricity Duty Act, 1939

A. Tax rates under this Act:

i) Self generated consumption of electrical energy is ten paise per unit.

ii) On sale of energy by Tamil Nadu Electricity Board or any other licensee 5% on the net energy charges.

B. Exemptions:

Following categories of consumers are exempted from the levy of the above tax.

1. For consumption by any Governments

2. Railway Administration

3. Any Local Authority

4. Energy sold by Tamil Nadu Electricity Board or any other licensees for the use of domestic, huts and agricultural purposes.

5. Energy sold for the consumption of developers of Special Economic Zones, Industrial Units and other establishments within Special Economic Zones.

6. Energy sold for the consumption of first new Industrial units set up in Tamil Nadu for a period of 3/4/5 years, depending upon the amount invested in eligible fixed assets from the date of first invoice.

1. The Tamil Nadu Tax on Consumption or Sale of Electricity Act, 2003 (Act 12 of 2003) has been amended by Tamil Nadu Tax on Consumption or Sale of Electricity (Amendment) Act, 2007 (Act 38 of 2007) as follows:

(i) Clause 2A has been inserted after clause (2) of Section 2, defining "Maximum Demand charge";

(ii) Section 2(7) has been substituted by the definition of "consumption charge";

(iii) Sections 2(8) and 2(12) have been deleted;

(iv) The expression "net charge" occurring in clause (a) and (b) of sub section (1) of Section 3 has been substituted by the expression "consumption charge".

(v) The expression "energy charges" occurring in sub section (1) of Section 6 has been substituted by the expression "consumption charges".

(vi) Section 20(1) has also been amended by substituting the proviso by "provided that, unless a different intention appears, such repeal shall not affect".

2. The Tamil Nadu Tax on Consumption or Sale of Electricity Act, 2003 (Act 12 of 2003), has been further amended by Tamil Nadu Tax on Consumption or Sale of Electricity (Amendment) Act, 2008 (Act 5 of 2008) by inserting sub sections (2) and (3) to Section 14 of the Act, for providing powers to Government to issue notification exempting or reducing the rate in respect of the electricity tax payable under the Act, on the consumption of electricity for own use by any generating company and also to cancel any notifications so issued.

There is a Government Electrical Standards Laboratory at Guindy, Chennai. There are mobile Electrical Testing Laboratories in Chennai, Salem, Tirunelveli, and Standard Electrical Testing Laboratory are in Madurai, Coimbatore and Trichy.

The Government has proposed to sanction a total outlay of Rs.13.30 lakhs for the implementation of the following new scheme during 2008-2009.

The Tamil Nadu Power Finance and Infrastructure Development Corporation Limited (Power Finance) was incorporated on 27.06.1991. The Corporation is registered with Reserve Bank of India as a Non Banking Finance Company. The objective of the Corporation is to mobilize funds for the Power Sector in Tamil Nadu, particularly for the schemes relating to generation, transmission and distribution network of the Tamil Nadu Electricity Board. The authorized share capital of the Corporation is Rs.50 crores and the Paid up Share Capital as on date is Rs.22 crores.

FIXED DEPOSITS:

Concern and care for the customers and consistent profits have considerably expanded the deposit base over the last decade besides leaving an indelible imprint in the minds of the investors. Due to the failure of many private Non Banking Finance Companies which lured investors with exorbitant interest rates in the past, the investors have reposed faith in Tamil Nadu Power Finance and Infrastructure Development Corporation Limited. Coupled with this fact, Power Fin’s offer of 1% interest more than the nationalized banks has resulted in the substantial growth of deposit base from Rs.2.09 crores in 1991-1992 to Rs.2,579.75 crores as on 07.03.2008 and the number of deposits from 816 in 1991-1992 to 2,64,220 deposits as on 07.03.2008.

The Corporation touched yet another milestone on 7.3.2008 when its net cumulative deposits in a single year touched a new high of Rs.478.79 crore. It is likely to close the year ending March 2008 with Rs.500 crore in net deposits. The highest achieved earlier was Rs.325.94 crore in the year 2004-2005.

Tamil Nadu Power Finance is offering the following interest rates for deposits with effect from 7.5.2007.

Besides, Tamil Nadu Power Finance is offering additional interest @ 0.25% per annum for 12 months and 24 months and 0.50% per annum for 36,48 and 60 months on deposits made by Senior Citizens who have completed 58 years.

The funds mobilized by Power Finance are being utilized to finance TNEB for its generation/ transmission/ distribution and other activities. The total financial assistance provided to TNEB since inception is Rs. 7,806.49 crores and the net loan outstanding from TNEB is Rs. 3080.32 crores as on 07/03/2008. In addition to the above, a sum of Rs.69.70 crores has been provided to other Corporations like Poompuhar Shipping Corporation Limited, Tamil Nadu Industrial Investment Corporation Limited, Tamil Nadu Industrial Development Corporation Limited etc. The Corporation achieved a record net assistance of Rs.635.81 Crores to TNEB during the current year surpassing the previous highest of Rs.367.16 Crores in the year 1994-1995.

A sum of Rs.309.66 crores (as on 07.03.2008) benefiting 2,03,308 children has been received as deposit under the "Sivagami Ammaiyar Ninaivu Penn Kulanthaigal Padukappu Thittam".

A sum of Rs.25.51 crores has been received covering 10202 temples as deposit under "Oru Kala Pooja" Scheme.

A sum of Rs.3.75 crores (as on 07.03.2008) has been received under the scheme for providing assistance to students of schools who have lost their income earning parents or incapacitated in accidents.

A sum of Rs. 8.15 crores has been received for providing assistance to 241 orphan children and adolescent, unmarried girls affected by Tsunami.

PROFITABILITY & DIVIDEND:

The Corporation has been making profit consistently since its inception in 1991. It is also declaring dividend at 20% on its Paid up Share Capital continuously for the past twelve years since 1995-1996. Upto 2006-07, the Corporation has paid dividend totalling Rs.47.62 crores to the Government of Tamil Nadu.

1. Mobilise a sum of Rs.300 crores as net deposits from public and institutions in the financial year 2008-09.

2. Provide financial assistance to the tune of Rs.1200 crores for power and infrastructure projects to be implemented by TNEB in the year 2008-09.

3. Provide financial assistance to the tune of Rs.50 crores to other institutions during the year.

ARCOT N. VEERASWAMI