The Hindu : Andhra Pradesh / Hyderabad News : Power purchase: priority to AP Genco

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Tuesday, Jun 02, 2009
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Andhra Pradesh

Andhra Pradesh - Hyderabad

Power purchase: priority to AP Genco

Special Correspondent

Move to meet commitment of nine-hour free supply to agriculture pumpsets

YSR to take up coal linkage to 600-MW Sattupalli thermal station with Centre
Official paints rosy picture of power scenario in State

HYDERABAD: The government has taken a crucial decision to give priority to AP Genco in the purchase of power in preference to private sources within the State and outside, to meet the demand, including the commitment of nine-hour free supply to agriculture pumpsets.

Reviewing energy-related issues at his first meeting here on Monday after his return from Israel, Chief Minister Y. S. Rajasekhara Reddy placed this major decision before senior officials of AP Genco, AP Transco, distribution companies and the Energy Department, making a fervent plea to them to see that all the power projects under construction by AP Genco were completed expeditiously.

The decision reverses the previous trend under which private plants were alleged to have been “pampered” and AP Genco sidelined.

On his part, the Chief Minister would take up with the Centre, the issues of coal linkage to the 600-MW Sattupalli thermal station and gas supply to 2,100-MW gas-based project coming up at Karimnagar.

A quantity of 8 tmcft (thousand million cubic ft) water would be provided to the nuclear power plant proposed in Kadapa district in association with Nuclear Power Corporation of India Limited.

Coal blocks

Dr. Reddy also agreed in principle to a proposal to apply for coal blocks in Orissa to meet the requirements of thermal stations in the State.

AP Genco Managing Director Ajay Jain informed the Chief Minister that the facility had added a capacity of 1,057 MW to the grid in 2004-09.

It was also implementing several new projects which would add another 14,900 MW.

As a result, the State was poised to get close to 10,380 MW in the next five years and turn surplus in power.

Officials lauded

Sources said that Dr. Reddy lauded the officials for managing reasonable supply during summer when the restricted demand reached a high of 232 million units on March 24 from a daily average of 194 million units.

However, the officials were asked to implement with immediate effect, the decision taken by the Chief Minister to provide nine-hour power supply to the farm sector.

Energy portfolio

The sources said the energy portfolio may also be allotted to Finance Minister K. Rosaiah, who attended the meeting along with top officials.

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