Harish: ₹50,000-Crore Scam in Telangana Power Plans

Hyderabad: The BRS on Wednesday severely criticised the state government’s plans for the power sector including setting up a third power distribution company (Discom), and plans for new thermal power plants and charging the Congress government of unveiling a new Rs 50,000 crore scam.

Addressing a press conference, former BRS minister T. Harish Rao said the state Cabinet, which approved the plans for the power sector on Tuesday, is part of the plan by Chief Minister A. Revanth Reddy “to earn commissions by taking 30 to 40 per cent of the project costs in this manner.”

Harish Rao also questioned the need for a third Discom for supplying power for schemes that involve free electricity such as to agriculture. “With no means of income, where will the funds come from for this Discom? This plan is to privatise the other two revenue generating Northern and Southern Discoms and was hatched under the guidance of the BJP government at the Centre,” he said.

On the proposed three new thermal power plants at Ramagundam, Palvancha, and Makthal with a combined capacity of 2,400 MW, he said there was no logic to the government saying it will include TG Genco in the construction plans along with NTPC which already made a less expensive offer.

The NTPC has offered to build the plants at a cost of Rs 12.23 crore per MW, whereas Genco’s estimates are at Rs 14 crore per MW. “The government which claims it cannot afford pensions or fee reimbursements, wants to raise the project costs, says it will raise Rs 50,000 crore for these projects of which Rs 40,000 crore will be in loans. For whose benefit are these plans being made?” he asked.

The NTPC, he said, wrote thrice stating it is ready to supply 2,400 MW under the Andhra Pradesh Reorganization Act to Telangana. “Why reject power from NTPC when it costs nothing to the state? Why prefer costlier, debt-funded Genco projects?” he asked.