YS Jagan Mohan Reddy to take the wind out of Chandrababu Naidu’s sails

Vijayawada: The power purchase agreements (PPA) that the Chandrababu Naidu government had signed to buy wind power have come under the scanner. Chief Minister Y.S. Jagan Mohan Reddy had voiced his objections to the PPAs during his maiden speech after taking oath as the Chief Minister on May 30.

Andhra Pradesh produces around 4,000 MW of wind power.  Agreements for 2,000 MW of this were signed after 2014. During the last five years, several agreements were signed by the state government at a purchase price of more than `4.

Mr Reddy has pointed out that though wind power was available in the open market at a lower price than `4 in that time period, the Naidu government had signed agreements indiscriminately which he said he will review.

 In order to promote wind power projects, the government had issued the AP Wind Power Policy-2015 in GO Ms No 9 dated 13.02.2015.

AP has a huge wind power potential that is yet to be harnessed. The wind power potential in the combined state of Andhra Pradesh as estimated by the National Institute of Wind Energy (NIWE) formerly known as Centre for Wind Energy Technology (C-WET) is 44,229 MW at 100 metre level with maximum potential existing in the districts of Anantapur, Kadapa, Kurnool, Chittoor and Nellore.

The New and Renewable Energy Development Corporation of AP Ltd (NREDCAP) was to act as the nodal agency under the wind power policy.

According to sources in the wind energy department, during the last five years around 17 to 18 PPAs to buy wind power from private developers have been signed.

:The PPAs were signed as per AP Electricity Regulatory Commission (APERC) norms, and with their consent, which will be legally binding. We will only understand what exactly the new chief minister had meant about the PPAs of wind power when he conducts a review meeting. We are waiting for the review meeting to be held," said a senior official of the state energy department.