Piyush Goyal in Chennai, warns states stalling nuclear plants

The union government is persuading states to clear their arrears to renewable energy companies, which are faced with the challenge of repaying debt amid muted cash flows, power minister Piyush Goyal said.

Speaking to reporters in Chennai, he said, “We are drawing up a new power allotment formula under which maximum power from Kudankulam 3 and 4 units will be for TN.”

He said that any State which does not allow nuclear plants to operate should not be eligible to obtain nuclear power from another State.

The Minister was in the city to hold review meetings with Chief Minister Edappadi K. Palaniswami and State Electricity Minister P. Thangamani. Addressing mediapersons at the Secretariat, he said that the Tamil Nadu government had requested that maximum power from Kudankulam units 3 and 4 be allotted to the State.

“Any state which does not allow a nuclear plant… should not be eligible for the benefits of nuclear power from another state,” Goyal said.

He spoke about GST and said that the state would make substantial savings because of the tax regime. “I have also shared with the TN govt about the huge savings Tamil Nadu is going to get, thanks to GST and the reduction of taxes by which NLC will reduce the cost by Rs. 508 crore. For Tamil Nadu, other companies which provide power will come down. And a saving will be about Rs. 1000 crore for Tamil Nadu.”