After extending free power to poor farmers, the Andhra Pradesh government now plans to offer ?free power? for lifting water under lift-irrigation schemes.
State power minister, Shabbir Ali, said the government was ready to provide 81mw of power to Guthpa, Alisagar, Tadipudi, Pushkara and Devadula I lift irrigation projects, covering the majority of districts in Telangana region. The Discoms are ready to provide power to the remaining 11 lift irrigation schemes, he added.
Interestingly, the state government has decided to enhance allocation for power purchase to Rs 2,600 crore for the current fiscal, while chief minister YSR Reddy has agreed to further increase it to Rs 2,900 crore for next fiscal 2008-09, for which the budget preparations have already commenced.
??We will raise the bill on a monthly basis and draw the funds, either for purchase of power from the generator from neighbouring states or to extend financial aid to the gas-based units enabling them to purchase naphtha,?? Shabbir Ali said. Accordingly, the government has agreed to buy power at Rs 8.62 per unit from gas-based units generating power by using naphtha, he added.
The minister said providing free power to lift irrigation projects should be viewed as free power to agriculture since upland farmers would get irrigation water straight into their farms.
As part of the logistic arrangement, the government has decided to divert natural gas being supplied by Lanco power to the Vemagiri power project with the capacity to generate 260mw. Against this, Lanco power will be supplied naphtha for its 350mw plant. ??Logistically, it would be ideal to divert natural gas to Vemagiri since Lanco has enough storage tanks for naphtha,?? Ali added.
The minister said discoms were asked not to impose fresh power cuts on all categories of customers. ??We have already given instructions to that effect,?? he said.
As per estimates, power demand for the rabi season is expected to shoot up to 195 million units during January and February 2008 and will further move upward to 205 million units in March and April 2008. ??We are seeing power surplus by 2010-11 when we will add 8,945mw of new capacity in coal-based, gas-based and hydel projects,?? Shabbir Ali said.