AP government to make key changes in power sector

AP government to make key changes in power sector
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Chief Minister N Chandrababu Naidu holds a review on electricity department at the Secretariat on Friday

Highlights

Energy policies of previous regime under review

Vijayawada : The Andhra Pradesh government is reviewing the decisions taken by the previous YSRCP government regarding the policies it had adopted in the power sector during 2019-2024.

The repeated hike in power tariff, decision to fix smart metres to agricultural pump sets and the losses suffered by the Discoms are some of the issues that had prominently figured during the high octane election campaign and the TDP and alliance partners promised that they would repeal the decision to install smart meters to agricultural pump sets.

The alliance government is of the view that installing meters to agricultural pump sets would not only cost Rs 4000 crore but will also go against the interests of the farmers. The government feels that it should implement the PM Kisan Urja Evam Suraksha Uthan Maha Abhiyan (PM KUSUM) to help the farmers. The previous government had told the Centre that they would not implement this scheme. It was keen on fixing meters as it wanted to give the contract to their henchmen.

Chief Minister N Chandrababu Naidu told the officials that the alliance government was keen on providing solar energy to the agricultural pump sets by installing solar panels in lands which were not fit for agriculture. They propose to generate power up to 10,000 MW and link it to the grid. The Centre would give necessary permission for this, he told the officials. Similarly, the Centre will also give permission for individual solar power plants to Water Users Associations which will be able to generate power up to 2 MW.

The Centre would pay Rs 6 lakh per MW of power generated. This will help reduce the pressure on the Discoms both in terms of power generation and the cost that they would be incurring. Another benefit would be that farmers can get lifelong free power.

Naidu further said that the previous government had entered into an agreement with solar energy corporation for power purchase costing Rs 75,000 crore over a period of 25 years. If the PM KUSUM scheme is implemented, there would be no need to implement this agreement, the CM remarked at the review meeting. It is likely to write a letter to Solar Energy Corporation to this effect.

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