14-03-2025 12:00:00 AM
metro india news I amaravati
Amaravati: Andhra Pradesh Chief Minister N. Chandrababu Naidu addressed the state assembly during a short discussion on the power sector, emphasizing the sector's crucial role in development. He stated that global progress is measured by electricity consumption and highlighted revolutionary changes in the industry over recent years, especially on the solar rooftop project which could be a game changer to AP.
Naidu recalled witnessing farmers' struggles during power shortages in the past, which led to his decision to provide nine hours of free power during the daytime. He noted that when his government attempted power sector reforms, critics ridiculed him as a “World Bank employee.” Despite this, his administration introduced key measures such as Discoms (Distribution Companies), a regulatory commission, and energy auditing.
He pointed out that in earlier years, transmission losses stood at 23%, and Andhra Pradesh was the first state in India to quantify them. After the state’s bifurcation, his government ensured AP remained free from power cuts, significantly improving energy availability. He cited the success of NTPS (NTPC Simhadri), a public sector power plant, which operated at an 83% Plant Load Factor (PLF), a feat that even some private companies could not achieve.
The Chief Minister revealed that Andhra Pradesh is working towards a 160 GW renewable energy production target, with investments exceeding Rs. 5 lakh crore, generating employment for 3.7 lakh individuals. Naidu announced that AP has embraced the concept of power swapping, receiving 600 MW from other states, saving Rs. 7 crore daily. The government is also focusing on local solar panel production, offering incentives for solar module manufacturers.
Criticizing the previous YSRCP government, Naidu alleged that AP, once a power-surplus state, was pushed into a deficit due to mismanagement. He highlighted an industry surcharge imposed during the last government’s tenure, adding to businesses' woes. In 2014, the state faced a 22.5 million unit power deficit, which TDP’s administration converted into surplus by 2018. He pointed out that power consumption in AP had increased by 23%, and the state was the first in India to generate 7,700 MW from solar and wind energy.
Naidu accused the previous government of inefficiency, leading to power tariff hikes that burdened citizens with Rs. 32,000 crore in additional charges. He alleged that rash cancellation of Power Purchase Agreements (PPAs) became an international controversy, discussed even at forums like Davos. The cancellation forced the state to pay Rs. 9,000 crore in penalties.
Additionally, the delay in the Polavaram hydropower project led to a loss of 960 MW of potential energy generation. Between 2019 and 2024, power tariffs were hiked nine times, placing significant financial stress on consumers.
Despite inherited challenges, the coalition government is actively addressing power sector issues. Naidu announced efforts to reduce the per-unit power purchase cost from Rs. 5.16 to Rs. 4.80 by April 1, 2025. Surplus energy will be exported to neighboring states, contributing to AP’s financial stability. He reiterated that India’s green energy target is 500 GW, with AP alone aiming for 160 GW.
Naidu unveiled ambitious plans under the PM Surya Ghar initiative, ensuring every household receives uninterrupted power. Households will be encouraged to install 2 kW solar panels, making AP a fully solar rooftop state. At least 10,000 homes per constituency will be equipped with solar panels, generating 240 units per household—double the state’s average household consumption of 100 units. Excess power will be purchased by Discoms, ensuring 20 years of free electricity for residents.
Additionally, all government offices and temples will be equipped with solar panels, with a target of 20 lakh homes adopting rooftop solar solutions this year, potentially generating 1,440 MW. Solar energy production at solar pump sets will also be encouraged. Farmers will be incentivized to install solar panels, and large-scale substations will be established to minimize distribution losses.
Naidu concluded by emphasizing his government’s commitment to making Andhra Pradesh a self-reliant power hub. Through innovative policies, infrastructure development, and renewable energy investments, the state aims to become a model for power sustainability and economic growth. The proposed reforms, if executed efficiently, could transform AP into a global leader in green energy and power management.