Andhra Pradesh Commits to Affordable Power and Green Energy Expansion with Major Reforms – EQ
In Short : Andhra Pradesh Energy Minister Gottipati Ravi Kumar announced there will be no hike in power tariffs, reaffirming the state’s commitment to affordable electricity. He defended new PPAs ensuring reliable supply and backed the ₹28,436 crore Green Energy Corridor launched by CM Chandrababu Naidu. The initiatives aim to boost renewable energy, local employment, and sustainable infrastructure without burdening consumers.
In Detail : Andhra Pradesh Energy Minister Gottipati Ravi Kumar has assured that there will be no increase in electricity tariffs, reaffirming the government’s commitment to keeping power affordable for all consumers. He criticized the previous administration for imposing tariff hikes amounting to ₹20,000 crore, which had strained households and businesses.
The minister defended recent power purchase agreements, including a key deal with Axis Energy at ₹4.60 per unit. He stated that this rate was chosen to ensure uninterrupted power supply, particularly during peak demand periods when electricity is often scarce and costly.
In response to opposition claims that cheaper power could have been procured from the Solar Energy Corporation of India (SECI), the minister clarified that once transmission and associated costs were factored in, SECI’s effective price was higher than ₹5 per unit, making the Axis Energy deal more cost-effective.
The agreement will enable the generation of 400 MW of power in the Rayalaseema region, creating employment opportunities and generating steady income for local farmers. Around 1,700 acres of land have been leased for the project at ₹31,000 per acre, and the state will benefit from 9% GST revenue from the initiative.
In a parallel development, Chief Minister Chandrababu Naidu has launched a ₹28,436 crore Green Energy Corridor aimed at integrating renewable power with the national grid. The corridor is expected to strengthen Andhra Pradesh’s renewable infrastructure and support the seamless transmission of clean energy across regions.
Together, these initiatives highlight the state government’s dual approach: ensuring power remains affordable for consumers while simultaneously advancing green energy adoption and building long-term sustainable infrastructure to meet future demands.
