Chief Minister J Jayalalithaa laid the foundation stone on Saturday, an official release here said today.
Upon its scheduled completion in 2019, the Uppur Power Project will generate 38.4 million units of power a day, the release said, adding it was coming up in over 995.16 acres.
PSU BHEL has been awarded a Rs 5,580 crore contract for the Boiler, Turbine and Generator works, related engineering and procurement, design and other initiatives, it said.
The proposal was part of the state government's efforts to boost the power sector to ensure overall industrial development of the state, it said.
Jayalalithaa also inaugurated 13 sub-stations set up in different parts of the state at an estimated cost of Rs 424 crore, it added.