Delays in completion of two thermal power projects have led to a situation wherein the Tamil Nadu Electricity Board purchased power from "costlier resources", the Comptroller and Auditor General has said.
The efforts of Tamil Nadu Generation and Distribution Company (TANGEDCO) efforts to augment its generation during power critical situation proved "inadequate" as two projects of 3,270 MW were delayed, CAG said in its report.
"It (TANGEDCO) took up two thermal projects with capacity of 1,800 MW at North Chennai Thermal Power Project I and II (NCTPP) and Mettur Thermal Power Project (MTPP). Though these projects were slated for completion before 2011, only MTPP was completed by October 2013," the report said, adding the NCTPP was undergoing trials as of December 2013.
TANGEDCO has already invested more than Rs 6,300 crore in the project and the delay of more than two years in completing the projects were due to planning deficiency, mode of execution, delay in implementing the projects and due to incorrect tender specifications, it said.
"Despite delays in the projects, TANGEDCO did not fix the responsibility either at its end or on the EPC contractors and allowed periodical extensions to them," it said.
Due to the delay in implementing the projects, CAG said TANGEDCO was led to purchase power from "costlier resources", it said.
CAG suggested TANGEDCO should have a plan for pre-order activities to avoid delays in project implementation and ensure that tender specifications are accurate and realistic.
TANGEDCO should regularly monitor the progress of the project to ensure implementation as per schedule and analyse the reasons for the delay, it said.
