**Executive Summary**
This document is the Tamil Nadu Government Gazette, Part II-Section 1, published on August 21, 2024. It contains a notification regarding the restructuring of the Tamil Nadu Electricity Board (TNEB) as per the Tamil Nadu Electricity (Reorganisation and Reforms) Transfer Scheme, 2010. The key element of the notification is a Tripartite Agreement entered into on February 12, 2024. The agreement is deemed to have come into force on November 1, 2010.
**Key Points / Main Content**
* **Restructuring of TNEB:** The Tamil Nadu Electricity Board (TNEB) is being restructured into a holding company (TNEB Limited) with two subsidiary companies: Tamil Nadu Transmission Corporation Limited (TANTRANSCO) and Tamil Nadu Generation and Distribution Corporation Limited (TANGEDCO).
* **Parties to the Agreement:**
* The Government of Tamil Nadu.
* TNEB Limited, TANTRANSCO, and TANGEDCO.
* Trade Unions and Associations representing Officers/Employees-Pensioners of TNEB.
* **Employee Protection:**
* No retrenchment of existing Officers/Employees due to restructuring.
* Service conditions will not be less favourable than before restructuring.
* Employees rendered surplus will be redeployed through a mutually agreed process.
* **Terms and Conditions of Service:**
* Terms and conditions of service will not be inferior upon transfer to successor entities.
* Principles and/or terms and conditions of service, such as promotions, appointments, internal selections, transfers, leave, and allowances, will remain the same.
* Existing wage and workload settlements will remain valid until their expiry or a new settlement.
* **Retirement Benefits:**
* Guaranteed payment of Pension, Family Pension, Retirement/Death benefits (gratuity, encashment of earned leave) and the existing benefits including GPF/CPS and periodical Dearness Allowance Relief.
* Consideration for creating a separate fund to meet Pension and other liabilities to existing pensioners and pension and other terminal benefits of the existing Officers/Employees of the TNEB and the successor entities.
* **Welfare Measures:** Existing welfare measures like compassionate appointment, medical reimbursement, present medical insurance, Educational Loan, Health Fund, HBA, Conveyance Advance, Marriage Advance, Festival Advance or any other existing loans and advances shall be continued.
* **Service Continuity:** Service under the Board and successor entities shall be treated as continuous for all service benefits.
* **Operational Aspects:**
* Existing Officers/Employees will initially be retained in TANGEDCO and continue to serve "as-is where-is."
* Cadre management will initially vest with TANGEDCO.
* Disciplinary proceedings will be dealt with by the respective successor entity.
* Existing workload norms will continue and changes will be finalized through mutually negotiated settlements.
* **Reservation Policy:** The rule of reservation followed by the Board will be continued by the successor entities.
* **Enforcement:** The State Government will take full responsibility for enforcing the agreement if the Corporate entities fail to implement it.
* **Legal Framework:**
* The successor entities may introduce a new set of rules, regulations, certified standing order, etc., in consultation with the Unions and TNEB Ltd.
* The first proviso to section 133 (2) of the Electricity Act 2003 should be considered.
* **Dispute Resolution:** Effort will be taken by the parties to resolve dispute(s) / difference(s) amicably in the first instance.
**Impact Analysis**
**Government of Tamil Nadu**
* **Impact:** Responsible for ensuring the implementation of the agreement and overseeing the restructuring of TNEB.
* **Action Required:** Issue orders/instructions/directions to implement the provisions of the Tripartite Agreement.
**TNEB Limited, TANTRANSCO, and TANGEDCO (Successor Entities)**
* **Impact:** Obligated to adhere to the terms of the agreement concerning employee protection, service conditions, retirement benefits, and welfare measures.
* **Action Required:** Implement the restructuring process, ensure compliance with the agreement's provisions, and engage in bipartite negotiations with Unions/Associations.
**Trade Unions and Associations representing Officers/Employees-Pensioners of TNEB**
* **Impact:** Their existing rights and benefits are protected. They are also involved in future wage settlements.
* **Action Required:** Engage in bipartite negotiations with the successor entities and ensure compliance with the agreement.
**Officers/Employees-Pensioners of TNEB**
* **Impact:** Protection of their employment, service conditions, and retirement benefits during and after the restructuring.
* **Action Required:** Comply with the transfer process and exercise their options as per the restructuring plan.
Key Entities Referenced
Tamil Nadu Electricity (Reorganisation and Reforms) Transfer Scheme, 2010: A scheme to restructure the Tamil Nadu Electricity Board (TNEB)
Tamil Nadu Electricity Board (TNEB): The main subject of the restructuring policy, later replaced by TNEB Limited, TANTRANSCO and TANGEDCO.
TANTRANSCO: Tamil Nadu Transmission Corporation Limited, one of the successor entities to TNEB
TANGEDCO: Tamil Nadu Generation and Distribution Corporation Limited, one of the successor entities to TNEB
Chennai: Location where the Tripartite Agreement was entered into