Bhatti Unveils Ambitious Power Roadmap For Telangana's $3 Trillion Economy By 2047

Hyderabad: Deputy Chief Minister Mallu Bhatti Vikramarka on Saturday unveiled the Congress government’s ambitious plan to aggressively push capacity addition in power sector, with a focus on green energy which is seen as a critical component in meeting the target of a $3 trillion economy by 2047.

Taking on the previous BRS regime for its lack of vision as reflected in its failure to adopt emerging technologies like pumped storage capacity, Bhatti said the Congress government was committed to taking up both conventional and alternative energy projects to bridge the rapidly widening gap between demand and supply.

The Chief Minister A Revanth Reddy-led Congress government would not compromise on energy and water besides law and order and these will define the state’s ability to attract investments, he pointed out.

The Deputy CM’s firm commitment, explained in an hour-long presentation to the media at Praja Bhavan, against the backdrop of the Cabinet’s decision to set up power projects with a combined capacity of 2,400 MW and the BRS’s allegations of a scam.

Bhatti raised alarm about an impending crisis, projecting a 65,000-million unit deficit by 2034-35 due to the previous regime's neglect of the power sector. To address this, the government had rolled out aggressive capacity addition strategies for the decade till FY35, he added.

Bhatti said Telangana had been experiencing the nation's highest power demand growth, outpacing Central Electricity Authority (CEA) forecasts, and is projected to have an energy requirement of 1,39,310 MW by 2046-47 to fuel the journey to a $3 trillion economy.

He noted that Central estimates undervalued Telangana's trajectory, but the state’s power needs had been growing at a stupendous pace because of rapid urbanisation, large-scale global data centres, electric vehicles (EVs), and heightened irrigation demands.

Bhatti stressed the need for 13 per cent annual economic growth and 10 per cent power demand growth, resulting in an eightfold peak demand rise by 2047. The state had achieved a 9.77-per cent compound annual growth rate (CAGR) over the past decade, with projections showing peak demand doubling in the next decade.

He expressed regret over deficient storage capacity, the result of planning lapses by the BRS government. He forecast shortages of 34,470 MW in solar and 10,296 MW in storage by 2034-35. Solar procurement will blend state-owned assets with private power purchase agreements (PPAs). For uninterrupted supply, the emphasis was on battery energy storage systems (BESS) and pumped storage projects (PSPs), which take five to six years to build, he said, citing the Pinnapuram project by Greenko in Andhra Pradesh as an example, which is almost ready for inauguration now.

Bhatti said that thermal power had an irreplaceable role in grid stability, warning that relying on renewables alone could trigger blackouts akin to the one in April in Spain and Portugal. Such a blackout could inflict a Rs 1,500 crore- Rs 2,000 crore daily economic damage in the state and affect hospitals, defence, transport, telecom, and data centres.

In this context, adding 5,000-6,000 MW of thermal capacity by 2035, including at Ramagundam, was imperative for base-load support and national goals. Complementing this, the state was going for wind power expansion targets of 25 GW to diversify the energy portfolio, he said.

Highlights

Telangana needs 1,39,310 MW of power by 2047 to emerge as a $3 trillion economy.

Telangana requires 13% annual economic growth and 10% annual power demand growth to meet the target

Installed generation capacity stands at 27,769 MW.

TG planning for a mix of thermal and green electricity to meet power goals.

Government plans to increase the per-capita electricity consumption, matching it with benchmarks in developed countries.

Telangana has 9.77% combined annual growth rate, one of the highest in India.

Peak demand is projected to double in the next decade.

To maintain the grid and support national targets, Telangana plans to add up to 6,000 MW of thermal capacity by 2034-35.

TG planning to add 14,250 MW pumped storage in the next decade.

Power consumption jumped by 10% within a year of Congress rule, indicating increased investments into Telangana

Pumped storage, the most sought after alternative energy facility, was neglected by the BRS regime.

Congress government working towards making up the gap caused by the BRS policy.

Telangana to aggressively push green energy as foreign investors are keen on availing carbon credits and opting for states which promise to provide them.