The Hindu : Andhra Pradesh / Hyderabad News : State to boost power generation

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Saturday, Jul 19, 2008
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Andhra Pradesh

Andhra Pradesh - Hyderabad

State to boost power generation

Special Correspondent

Also plans to buy power; Centre offers to supply 50 MW to tide over shortage

HYDERABAD: Chances of cut in power supply during nights in the State may be less now, following arrangements made by the AP Transco to increase generation and, at the same time, buy power in the open market.

Energy Minister Mohd Ali Shabbir told reporters here on Friday that the Union Government had offered to supply 50 MW of power to the State additionally from the Central generation stations to mitigate the hardship.

Moreover, AP Transco had also begun to operate the entire 350 MW capacity of Lanco project at Kondapalli, using naphtha in view of the present gas shortage, though the generation cost would work out to Rs. 12.90 per unit with this costly fuel. The limited quantity of gas available with which Lanco station could be operated only at half of its capacity, would now be diverted to Vemagiri project which remained idle for want of gas.

Mr. Shabbir said though the price of naphtha had gone up from Rs. 47,000 to 74,000 a tonne, the government had opted to use the costly fuel to tide over the shortage to the extent possible. Hindustan Petroleum Corporation Limited had been asked to ensure supply of naphtha stocks to Lanco in time.

He said AP Transco may directly purchase 150 MW shortly from power traders and the price issue was being negotiated.

The Minister said complaints had been received from different parts of the State that power cuts were being imposed at night in violation of the government’s promise that it would spare them this ordeal. He said the steps being initiated now were sure to improve the situation and expressed confidence that there would be no power cuts anywhere between 6 pm to 11 pm.

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Andhra Pradesh