Power utlities of AP and Telangana are at loggerheads once again. Already AP is foulcrying on the rules of Reorganization Act which gives major share of power to Telangana even from the plants in its own land. The Act also gives Telangana the first right of refusal over the excess power available for sale in AP.
Recently APGenco turned surplus in power after the commissioning of two power projects – 1,600 MW Sri Damodaram Sanjeevaiah super critical thermal power project in the public sector and another 2,640 MW project promoted by SembCorp in private sector. The two projects together added 4,240 MW to APGenco’s installed capacity on a single day.
According to the rule, Telangana was to offer the power first. AP did but Telangana Genco turned down the offer. TGenco claims that APGenco intentioanlly quoted the price at around Rs. 5.30 per unit so that it will reject the offer due to the higher side. APGenco officials, however, are firm that they had followed the rules in letter and spirit in offering power to the neighbouring State.