CPM flays inflated prices for Axis Energy power

CPM state executive member Ch Babu Rao strongly opposed the proposal by Southern Power Distribution Corporation Limited (SPDCL) to purchase wind and solar power from Axis Energy Ventures Private Limited at Rs 4.60 per unit for the next 25 years.
Vijayawada: CPM state executive member Ch Babu Rao strongly opposed the proposal by Southern Power Distribution Corporation Limited (SPDCL) to purchase wind and solar power from Axis Energy Ventures Private Limited at Rs 4.60 per unit for the next 25 years.
During a public enquiry held by the Andhra Pradesh Electricity Regulatory Commission (APERC) in Kurnool on Friday, Babu Rao argued that this deal would impose a staggering financial burden of Rs 14,186 crore on consumers. He submitted a detailed 30-page objection, urging APERC chairman Thakur Ram Singh, who presided over the hearing, to reject the proposal outright and cancel related agreements with the Solar Energy Corporation of India (SECI) and Adani.
Babu Rao said that similar proposals were rejected by APERC seven years ago, questioning why they were being reintroduced. He pointed out the availability of solar power at Rs 2 per unit, calling the proposed rate of Rs 4.60 per unit unjustifiable and outrageous.
He criticised the state government, which had promised reduced energy tariffs during elections, for already burdening citizens with Rs 15,485 crore in additional costs over the past nine months. Furthermore, he deplored Chief Minister’s refusal to scrap the SECI and Adani agreements, which he claimed would cost Rs 1.20 lakh crore over 25 years.
He warned that approving this proposal could lead to agreements for 10,000 MW of power at inflated rates.
The CPM leader accused the government of misleading the public by citing a four-hour peak demand to justify purchasing energy at high rates round-the-clock.
He demanded transparent open tenders for power procurement and suggested utilizing the state-owned APGenco to generate solar and wind energy affordably.
He also condemned officials’ threats to file criminal cases against objectors, calling it an attack on democratic dissent.















