State Cabinet Seeks CBI Inquiry into BRS's Power Irregularities

Hyderabad: The Cabinet at its meeting chaired by Chief Minister A. Revanth Reddy on Monday sought a CBI inquiry into alleged irregularities by the previous BRS government in the Bhadradri and Yadadri thermal power projects, as well as power purchase agreements (PPAs) with other states. The report of the Justice Madan B. Lokur Commission, which had scrutinised the alleged irregularities in the power sector, would form the basis for the government demand.

Briefing mediapersons after the Cabinet meeting, ministers Ponguleti Srinivas Reddy, Ponnam Prabhakar, Adluri Laxman and Vakiti Srihari said that the Cabinet had taken decision to hand over the Justice Lokur report to the CBI and seek an inquiry, following legal opinion from the Advocate-General. It was pointed out that the PPAs involved multiple states, and Central government organisations had a role in the execution of the two power plants.

“During the Cabinet meeting held on January 4, it was decided to seek the opinion of the Advocate General regarding the course of action to be taken based on this report. In wake of the Advocate General submitting his opinion, the Cabinet deliberated on the advise and resolved to entrust the investigation to the CBI to ensure an impartial inquiry. Orders have been issued to officials to expedite the necessary procedural steps required to facilitate this transfer,” Srinivas Reddy said.

The Justice Lokur Commission in its 114-page report, submitted in October 2024, had reportedly faulted the construction of the Bhadradri and Yadadri thermal projects far from coal mines, in contravention of Central Electricity Authority (CEA) guidelines. It also studied the impact of outdated technology used in their construction. The previous BRS government was accused of ignoring norms which led to an estimated additional burden of ₹1,600 crore for the Yadadri project.

The Cabinet also decided to revise land prices across the state and to rationalise land values scientifically in certain regions, where significant disparities existed compared to actual market rates.

“The registration department has been authorised to undertake this rationalisation of market values in a scientific way. The district-level market value revision committees will take all relevant factors into consideration while revising these values. The revised values are set to come into effect during the last week of this month,” Srinivas Reddy said.

The Cabinet also decided to extend an opportunity to those applying under the Hyderabad Industrial Land Transformation (HILT) policy. It approved a provision allowing applicants who submitted their requests before the land price hike came into effect, the flexibility to make an initial payment of 10 per cent. For these applicants, the existing land rates (prior to the revision) will remain applicable. The remaining 90 per cent of the payment must be cleared within 90 days.

In wake of the unseasonal rains, Srinivas Reddy said, the Chief Minister had issued directives to the district in-charge ministers to take charge of the situation, gather detailed reports on the damage to crops and the harvest, and initiate measures to provide relief to the affected farmers.

Separately, the state government has approved an MoU to hand over the Nalgonda-Rangareddy Milk Producers' Association to the National Dairy Development Board (NDDB).

The Cabinet has approved the establishment of solar power generation plants at 33/11 kV substations across nine districts. These solar generation plants are set to be established at 18 locations on a pilot basis. Approval was granted for the implementation of 19-megawatt solar projects at an estimated cost of approximately `66.50 crore.

The Cabinet has also approved a proposal to provide a 'one-time settlement' (OTS) facility to enable various government offices within the Greater Hyderabad, Cyberabad, and Malkajgiri municipal corporation limits to clear their pending tax dues. Outstanding arrears amount to approximately ₹5,864 crore. It is estimated that, after waiving all penalties and interest charges, the OTS will generate a revenue of ₹1,686 crore.

The Cabinet decided to bring all ITIs (advanced training centres), polytechnics, and T-SAT institutions under the ambit of the 'Young India Skill University,' thereby placing them under a single administrative umbrella. It also approved the allocation of 42 acres of land for the establishment of a modern vegetable market at Aziznagar in Moinabad Mandal, Rangareddy district.