A proposal for setting up a thermal power plant in Udangudi in Tutucorin district was mooted during a meeting between Union Minister for New and Renewable Energy, Farooq Abdullah and Electricity Minister Arcot N Veeraswamy on saturday. The Union Minister has also offered help to the state to set up the thermal power plant. The capital cost of setting up the plant according  to Mr Veeraswamy would be Rs 18 crore to Rs 20 crore.