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Two senior officials of the Tamil Nadu Electricity Board (TNEB) have been suspended following allegations of irregularities in the approval and allotment of green energy projects linked to the Tamil Nadu Green Energy Corporation Limited (TNGECL).
Electricity Minister R Nirmalkumar announced the action on May 21, stating that Chief Financial Controller V Kasi and Chief Engineer (Non-Conventional Energy Sources) P Chandrasekaran had been placed under suspension pending departmental inquiries.
According to the minister, Chandrasekaran was suspended over alleged procedural lapses in connection with green energy project approvals. He further said that a CBI case was already pending against Kasi and that multiple allegations had surfaced against him.
Nirmalkumar said the suspensions were part of a wider departmental investigation into decisions and approvals granted during the 2021–23 period.
In a separate press release, the Tamil Nadu government also announced that the retirement benefits of former TNGECL Director (Technical) S Mangalnathan had been temporarily withheld in connection with the ongoing probe into alleged irregularities in green energy project sanctions.
According to DT Next, R Nirmalkumar said, “The state government initiated a comprehensive validation of procedures across the electricity department after the present administration assumed office. The review covered tender processes, regulatory compliance, solar energy project approvals, and coal procurement practices for thermal power stations.”
Quoting findings from the review, Nirmalkumar said procedural lapses and irregularities had been detected in multiple sectors, including solar energy approvals, leading to disciplinary action against the officials concerned.
He also alleged discrepancies in procurement practices, claiming that a 500 KVA transformer with an estimated value of around Rs 8 lakh had allegedly been tendered at nearly Rs 13 lakh.
The minister said the government’s immediate priority was to implement administrative reforms in the electricity utility before moving towards financial restructuring. He noted that the utility was currently carrying debt of nearly Rs 2 lakh crore.
Nirmalkumar further announced that the government would soon introduce a transparent approval framework for solar energy investors to ensure project clearances are granted only through a formalised system rather than informal recommendations. A dedicated online portal for approvals would also be launched shortly, he said.
The minister also dismissed speculation about a possible increase in electricity tariffs in Tamil Nadu. He said the state government and the Chief Minister had no plans at present to raise electricity charges and described reports suggesting otherwise as misleading.
This article was written by a student interning with TNM