Date:07/03/2009

Tamil Nadu

Registration of transmission corporation under way

T. Ramakrishnan Formation of the corporation is a sequel to government’s decision in October last to reorganise the Board into a holding company and two subsidiary companies

All companies will be fully owned by government

Board to select a consultant shortly

CHHENAI: The formalities for registering the Tamil Nadu Transmission Corporation (TANTRANSCO) are likely to be completed by the end of this month.

The Tamil Nadu Electricity Board has sent the draft text of the memorandum of association and the articles of association for the proposed company to the State government. On getting the nod, the registration will be carried out, says a senior official.

The formation of the corporation is a sequel to the State government's decision in October last to re-organise the Board into a holding company and two subsidiary companies. An order issued then said the holding company would be called the TNEB Limited and the subsidiaries would be known as the Tamil Nadu Transmission Corporation Limited (TANTRANSCO) and the Tamil Nadu Generation and Distribution Corporation Limited (TANGEDCO). All the companies would be fully owned by the government.

The Board is expected to select a consultant shortly for finalising a transfer scheme, and the consultancy firm will prepare the necessary documents for the other two firms.

In a February 20 communication, the Union Power Ministry conveyed to the State government that it had agreed for the continuation of the TNEB as the State transmission utility and a licensee up to June 15 for helping the State government to complete the restructuring process. “This is the last extension, and the TNEB will become illegal after 15.6.2009, if not unbundled as per the provisions of the Electricity Act, 2003.†(The last deadline expired on January 9.)