Evaluating the Financial Future of Electric Utilities Using Scenarios Analysis: The Case of Tamil Nadu

The research paper examines the financial distress of Tamil Nadu's electric utility, TANGEDCO, which had an accumulated debt of ₹1,25,200 crores as of FY 2022-23. Using the RATE modeling tool, the study analyzes how factors such as renewable energy penetration, coal cost inflation, and consumer sales migration affect the utility's financial health and consumer tariffs. The analysis is critical as the state aims to increase generation capacity by 33 GW by 2030, with over 80 percent of that new capacity expected to be renewable energy.

• Tamil Nadu's state-owned electric utility, TANGEDCO, is in financial distress with an accumulated debt of ₹1,25,200 crores as of FY 2022-23, which hinders its ability to borrow loans, upgrade grid infrastructure, and make timely payments to renewable energy generators.
• Tamil Nadu plans to nearly double its FY 2022-23 generation capacity by adding 33 GW by 2030, with more than 80 percent of this new capacity expected to be renewable energy to meet a goal of generating half its power from such sources by 2030.
• The research utilizes the RATE model to evaluate four specific financial scenarios: High Sales Migration (HSM), High Renewable Purchase Obligation (RPO), Impact of Coal Cost Inflation (ICCI), and New Green Policy Initiatives (NGPI).

APA

World Resources Institute (n.d.). Evaluating the Financial Future of Electric Utilities Using Scenarios Analysis: The Case of Tamil Nadu. https://www.wri.org/research/evaluating-financial-future-electric-utilities-using-scenarios-analysis-case-tamil-nadu

Chicago

World Resources Institute. Evaluating the Financial Future of Electric Utilities Using Scenarios Analysis: The Case of Tamil Nadu. n.d. https://www.wri.org/research/evaluating-financial-future-electric-utilities-using-scenarios-analysis-case-tamil-nadu.

Wikipedia

{{cite report |author=World Resources Institute |title=Evaluating the Financial Future of Electric Utilities Using Scenarios Analysis: The Case of Tamil Nadu |url=https://www.wri.org/research/evaluating-financial-future-electric-utilities-using-scenarios-analysis-case-tamil-nadu |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{worldresourcesinstitutendevaluating, author = {{World Resources Institute}}, title = {{Evaluating the Financial Future of Electric Utilities Using Scenarios Analysis: The Case of Tamil Nadu}}, institution = {World Resources Institute}, url = {https://www.wri.org/research/evaluating-financial-future-electric-utilities-using-scenarios-analysis-case-tamil-nadu}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }