Power woes: KCR to meet PM Modi to get 'rightful' share from Andhra Pradesh

 

He said it was the responsibility of the Centre to implement the Andhra Pradesh Reorganisation Act in “letter and spirit” regarding power allocation. Mr Rao threatened to stop supplying AP’s share of power in the new power plants expected to come up in Telangana within a year, if AP continues to dishonour the AP Reorganisation Act.

 

“As per the Act, power has to be shared between TS and AP in the ratio of 54:46. Under this Telangana is eligible for 2,700 MW from AP and AP is entitled to 2,000 MW from Telangana. If AP refuses to give TS its share we will hit back. If AP agrees to this we will get 2,700 MW. Or else we will have our own 2,000 MW within a year from the new plants in Bhoopalapally and Adilabad,” Mr Rao said in the Assembly.

 

He added, “We have also readied a petition to be filed in the Supreme Court against AP. This will be done if the Centre fails to implement the Act.” Though the Centre had allocated 6,000 MW of thermal power to TS during bifurcation he said the state has been getting only 4,200 MW. 

 

“Though Krishnapatnam plant has been producing 650 MW now AP is not giving even a single unit. I gathered proof regarding this and it will be submitted to the Centre,” Mr Rao alleged. 

 

AP government has been falsely claiming that the plant is yet to begin production to harm the interests of Telangana," Mr Rao alleged. Stating that the AP government had complied with the AP Reorganisation Act regarding power sharing only for a week after both the states were formed, he added, "They started troubling us by blocking power exactly a week after TS was formed. They began with the cancellation of PPAs unilaterally and later denied power from its plants."

 

 

 

He said he had already met governmental delegations from 27 countries apart from representatives of 80 corporations. Speaking in the Assembly, the CM said the government can avail loans amounting to 90 per cent of the State’s Own Revenue (SOR) and State Own Tax Revenues (SOTR). “These loans are given to PSUs and not to the government. We can get loans of about 90 per cent of Rs 48,000 crore.” 

 

He stressed that today's open market economy meant states could directly deal with external agencies without the Centre's intervention. "Funding agencies are ready to give funds. Till date, I have met government delegations from 27 different countries and representatives of about 70 to 80 corporations. Investors are ready to come and funds are available to everyone. Only thing is we have to plan properly," the Chief Minister remarked. 

 

The comments come on a day when Andhra Pradesh Chief Minister met Japanese Prime Minister Shinzo Abe and is seeking investments in the state. He added, "The World Bank was ready to give funds but we were not happy with the clauses and told them JICA is ready to fund us and we will take their help. Then World Bank told us to wait and said they will amend the clauses and come back."

 

KCR also allayed fears of a financial breakdown and assured that the state was not in trouble on the Fiscal Responsibility and Budget Management (FRBM) Act front and could still avail loans. "Under FRBM, we can still take Rs 5000 crore loans. We haven't used it but we will use for the right purpose," he said. 

 

MIM floor leader Akbaruddin Owaisi had earlier said the financial situation of the state was worse than the power crisis. However, speaking after the Chief Minister, he said he never got answers to any of his questions.