Adani US indictment: YSRCP dismisses graft charge, says discoms inked pact with SECI

VIJAYAWADA: YSRCP condemned the allegations connecting the Andhra Pradesh govt's deal to procure solar power from Solar Energy Corporation of India generated by the Adani Group. "There is no direct agreement between AP discoms and any other entities, including those belonging to Adani Group. Therefore, allegations made on the then state govt are incorrect," said a YSRCP spokesperson.

In a statement issued Thursday, YSRCP said state power utilities supply close to 12,500 MU of free power per annum to agriculture sector, which has been borne by state govt. Owing to policies of the previous govt (TDP) to sign PPAs at exorbitant tariffs, discoms were pushed into trouble as they were made to purchase power at nearly Rs 5.10 per kWh. This resulted in a huge subsidy burden on state govt.

"With a view to mitigate this issue, the state govt proposed to install 10,000 MW of solar capacity in solar parks to be developed in Andhra Pradesh in 2020 and floated tenders through APGECL.

A tender was floated in Nov 2020 for the development of solar power capacity aggregating to 6,400 MW power, wherein over 24 bids were received, with the tariffs in the range of Rs 2.49 to Rs 2.58 per kWh. However, the tender encountered obstacles on legal and regulatory fronts and, therefore, the exercise could not fructify.

Andhra Pradesh govt subsequently received an offer from SECI, a govt of India enterprise, to supply 7,000 MW of power at the lowest discovered tariff of Rs 2.49 per kWh, including waiver of ISTS charges. Subsequently, the state govt entered into an arrangement to procure power from the SECI, to the tune of 7,000 MW at Rs 2.49 per kWh for a 25-year period.


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