📷 Image: Wikimedia Commons / Timothy A. Gonsalves
Business
Tamil Nadu Buys Power at Record Rs 37 per Unit Amid Surge in Demand
✍️ The New Indian Express
🗓 14 Oct 2026, 07:36 AM
👁 15
Tamil Nadu has agreed to purchase electricity at an unprecedented price of Rs 37 per unit, reflecting the state's escalating demand and the strain on its power supply.
Tamil Nadu has signed a new power purchase agreement that sets the price at Rs 37 per unit, the highest level seen in the state's history.
The hike comes as the state grapples with a sharp rise in electricity demand, driven by a prolonged heatwave, increased industrial activity and the expansion of data centres.
Experts warn that the elevated cost will translate into higher tariffs for consumers and could strain the state’s budget, which already faces deficits in its power sector.
The Tamil Nadu Generation and Distribution Corporation (TANGEDCO) said it will explore options to balance the load and negotiate better rates with suppliers in the coming months.
The hike comes as the state grapples with a sharp rise in electricity demand, driven by a prolonged heatwave, increased industrial activity and the expansion of data centres.
Experts warn that the elevated cost will translate into higher tariffs for consumers and could strain the state’s budget, which already faces deficits in its power sector.
The Tamil Nadu Generation and Distribution Corporation (TANGEDCO) said it will explore options to balance the load and negotiate better rates with suppliers in the coming months.