AP, Telangana stick to stand on power bonds

Sheela Bhide said that the outstanding bonds should be shared as per GO 28 issued by the AP government.

Update: 2017-05-05 21:16 GMT
Mr Prabhakar Rao said there were 22 lakh agriculture pump sets and requested farmers to remove auto-starters from their pumps to save power and groundwater (Representational Image)

Hyderabad: A meeting convened on sharing of Power Finance Corporation bonds by Sheela Bhide remained inconclusive on Friday, with officials of both AP and TS governments sticking to their respective stands.

TS has been insisting that the bonds be shared on the basis of population as per the AP Reorganisation Act while AP wants power consumption to be the basis.

The government of undivided AP had issued the PFC bonds to raise Rs 5,894.60 crore. After bifurcation, the government of residuary AP allotted the outstanding bonds at the rate of 59.54 per cent to Telangana and 40.46 per cent to itself, Discoms-wise.

TS officials told the Sheela Bhide Committee that the state has paid Rs 300 crore extra to AP. They said that if the bonds were to be shared on the basis of population, AP will have to pay TS Rs 300 crore.  

Representing the TS government on Friday were Special Chief Secretary of Energy department Ajay Misra and Officer on Special Duty, Power Finance Corporation, M. Prabhu. AP was represented by joint MD of Transco Dinesh Paruchuri and others.  

During the arguments, Sheela Bhide said that the outstanding bonds should be shared as per GO 28 issued by the AP government.

Similar News