Tamil Nadu’s Solar Promise: Approved and Funded, But Waiting to Take Off

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Eighty-year-old Tamizhmozhi lived alone in a tiny hut – and had never had electricity. But she would hear a group of men in her village Irumbai, near Auroville in Tamil Nadu, talk about power all day and night.

Excited, she asked Abhimanyu, an environmental activist, if he could get her a fan. Confused, as her house had only a thatched roof, the activist and his team devised a makeshift method to lay iron rods to support the structure and lay cable lines.

In a few hours, the fan was installed, and she could control it with a remote while resting. She then learned it was the ‘surya bhagwan’ (sun god) powering her house. Since then, she has been looking forward to her village Irumbai getting lit up.

It has been 12 years, and she is still waiting.

In 2012, a proposal was made to make Irumbai, which is inhabited by over 1,000 people, a United Nations-backed community known for pioneering sustainable development and supporting local agriculture and small industries.

The idea was approved under Tamil Nadu Innovation Initiatives, funds were allocated, officials were deputed, but the proposal has still not taken off. Interestingly, in 2019, this project was christened as the ‘Amma Green Gramam’ project and was tabled in the state budget. But it lost momentum soon after a change in government.

According to activists, the lack of implementation and interest stems from bureaucratic hurdles that complicate the execution of green initiatives.

“In Tamil Nadu, political rivalries often lead to projects being renamed or reworked under different ministers, causing delays and administrative obstacles that make the process inefficient and less accessible to the public,” said a source in the ruling Dravida Munnetra Kazhagam (DMK). 

The Quint analyses this project to explore why it differs from other solar proposals, the actual savings it offers, and the bureaucratic hurdles hindering policy implementation, reflecting the state government's approach to transitioning to renewable energy.

A Vision Unfulfilled: Irumbai's Stalled Solar Dream

Imagine a community-driven revolution in renewable energy – by cutting out batteries, minimising transmission losses, tackling disposal issues, and reducing dependence on coal-powered plants, this project puts people front and centre.

Such an idea was proposed in Irumbai. Frequent power cuts in Tamil Nadu's rural areas have impacted farm productivity, small businesses, and migration patterns. If the proposed idea was replicated, it could transform Tamil Nadu's energy landscape, making rural areas energy-positive, boosting productivity, supporting businesses, and improving education, health, and the economy.

Harnessing Tamil Nadu's untapped solar potential could greatly reduce emissions as well, as solar power generation does not produce carbon dioxide (CO2), the main greenhouse gas causing climate change.

According to a 2015 audit in Irumbai, fossil fuel-based electricity generated 296 T of CO2, but this project could offset 242 T and achieve 21 percent energy savings through efficiency measures.

The project also ensures that local communities are part of the 'just transition to clean energy'. A thorough energy audit conducted by Auroville Consulting in 2015, involving the local villagers and climate experts, revealed the energy consumption per household ranged from 40 watts (for 2-3 light bulbs) to 500 watts (for four fans and 10 light bulbs).

The audit also noted that only 32 percent of streetlights were operational, and commercial and industrial activities were minimal, due to unreliable power supply.

Smart Savings: Choose Energy Efficiency First, Then Go Solar

The first step, before setting up solar plants, included integrating energy-efficient appliances, such as LED lights and low-power fans, in the village to reduce energy consumption.

Abhimanyu, the local climate expert working on the project for a decade, told The Quint, “A normal fan consumes 75 watts, but an energy-saver [fan] uses only 28 watts, which amounts to just one-third of the energy consumption and cost.”

By replacing all appliances with energy efficient models, the village could save 52,950 kWh per year (43 percent) and upgrading irrigation pumps could lead to a total energy saving potential of 44 percent (9.35 kW), according to the audit.

In 2015, 212 energy efficient fans were installed, and during a visit in June 2024, The Quint found them still in good working condition with no complaints from residents.

Tamilselvi, 48, shared her experience:

“I once thought solar was just a gimmick, but after the fans were installed, I saw real savings on my bills. I believe in solar now and want this for our village. The delay is frustrating, especially since the government struggles to provide reliable electricity.”

Sun for All, Energy by All – A Democratic Approach to Energy

Engaging locals can also boost the rural economy by creating opportunities for green jobs, ultimately fostering a more equitable and prosperous society. 

Unlike most top-down projects, this proposal offers a fixed tariff based on realistic solar energy costs for locals.

The proposal grants the community a 70 percent stake in the project, with the state government holding 30 percent, putting control and benefits in the hands of locals. This incentivises investments in solar rooftop installations in rural areas, focusing on preserving valuable agricultural land.

"The sun shines on every roof. So, the sun is inherently democratic, and that is how we need to view policies as well – to ensure it is for all and includes all. Instead of going with the old paradigm of centralised generation, let’s consider distributed generation, as that makes solar accessible to everyone and include people in this energy transition process.”

Martin Scherfler, climate activist and founder of Auroville Consulting

As I walked around the village, Radhika stepped out to invite me home. She proudly flaunted an energy efficient fan installed in her room, recalling how after the team installed the fan in her son’s room, she sneakily dismantled it and put it in her room.

“I heard it runs on sunlight and it is so cheap. And it feels ‘cool’ to be solar, so I kept it,” she smiled.

“Usually, people think we aren’t well-educated, so they never care to explain. We live with nature. Even if we have power cuts, we don’t grumble because we are happy with the natural breeze. So, explaining how solar works and involving us in the process has made us feel that this is by, for, and of the people.”

Radhika

So, What’s Causing the Holdup?

Activists attribute the delays to the indifferent attitude of officials towards sustainability, frequent transfers of officials, and the project's small budget.

Scherfler explained that the project's nominal budget was a major deterrent in attracting attention.

“There were hardly any takers when Tamil Nadu Energy Development Agency (TEDA) floated the public tender because the village requires just 200 lights to be changed. This isn’t a commercially profitable venture, so there was no interest.”

Martin Scherfler, climate activist and founder of Auroville Consulting

An official in the department told The Quint, “Such small projects will never get traction. The larger the budget, the higher the potential for bribes. Had the team raised the budget and allowed for corruption, it might have been more enticing. And this model doesn’t make sense to be replicated as well, because again, where is the room for bribe in such small budgets?”

Scherfler expressed frustration with the constant turnover of officials, noting that each time the leadership at TEDA changes, they have to reintroduce the project from scratch. Over the past decade, they’ve had to start over with at least nine different chief managing directors.

Scherfler said, “Building trust with officials is challenging, and while some were enthusiastic, most don’t see sustainability’s link to economic development.”

A senior policy analyst noted that the project likely influenced the Prime Minister's Surya Ghar policy, which is expected to provide free solar electricity to low-income households. Scherfler added that they are looking to collaborate with the Centre – and try a different approach to kickstart their project.

“What we need is accountability. If there is a project announced and funding is provided, then you either do the project or do a public announcement about why you are not doing it. And that would be helpful for others coming up with policies.”

Martin Scherfler to The Quint

From Plans to Practice: Confronting the Roadblocks in Green Energy Transition

Tamil Nadu has a solar potential of about 20 GW, but only 4.3 GW is currently installed. Out of the state’s total 33,425 MW power generation capacity, approximately 13,000 MW comes from coal, making it a significant part of the energy mix.

A 45 percent increase in power consumption and a 41 percent spike in peak power loads is predicted by 2030 compared to 2023, as per a report by Auroville Consulting. The state government aims to boost installed solar power capacity to 20,000 MW by 2030, requiring an additional 28.2 GW to meet 75 percent of power demand through solar energy. 

Despite the potential, energy-efficient approved plans have not progressed.

The Quint reached out to officials from TEDA, TANGEDCO, and the Tamil Nadu government to understand why such proposals remain unimplemented.

A TANGEDCO official speaking on condition of anonymity said that while solar energy generates significant interest, India has not yet achieved grid parity.

A senior TEDA official acknowledged the proposal’s merit but highlighted that energy storage remains costly. According to him, solar energy generation costs around Rs 7 per unit compared to Rs 4 per unit for coal-powered plants, when storage costs are added to solar.

Recently, the state government began powering 350 villages with solar energy, generating more renewable power than needed, but this is still not sustainable. 

“We still live in a country where climate is discussed as a miscellaneous subject that requires no urgent attention. Instead, it should be integrated with policy making because climate affects our economy,” said a senior state government official speaking on condition of anonymity.

Now, the recent launch of the Tamil Nadu Green Energy Corporation Limited (TNGECL) aims to accelerate the state's green energy transition, support project funding, and improve the financial stability of TANGEDCO, which has dues of Rs 89,375 crore as of FY22.

Activists have expressed concerns that creating a new green energy body often complicates matters.

“A new agency means navigating unfamiliar processes and representing projects to new officials. Without our perseverance, many green initiatives would not advance,” a senior climate activist warned.

However, many opined that there is hope that the new body could streamline approvals, improve energy storage solutions, and foster partnerships.

Climate crisis discussions may have become the buzz of late, but complex bureaucratic processes have hindered effective action.

(This story has been produced with the support of Internews’ Earth Journalism Network. The author is an independent journalist with over nine years of experience covering politics, climate, caste and law in south India. Her X handle is @smitha_tk.)