“Sources Claim KCR’s Power Agreements Led to ₹6,000-Crore Loss for Telangana”

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Telangana Alleges ₹6,000-Crore Loss Due to Power Deals, Former CM KCR Questions Probe Neutrality

The Telangana government has raised serious concerns over alleged irregularities in power purchase agreements (PPAs) during the tenure of the previous Bharat Rashtra Samithi (TRS) government, estimating a staggering ₹6,000-crore loss to the state exchequer. Former Chief Minister K Chandrashekar Rao, popularly known as KCR, has challenged the neutrality of the Commission of Inquiry investigating these allegations, further intensifying the controversy.

The Commission of Inquiry, headed by former Justice Narasimha Reddy, issued a notice to KCR regarding suspected irregularities in the power purchase agreements. In response, KCR questioned the commission’s authority to investigate decisions made by the Electricity Regulatory Commission and criticized Justice Narasimha Reddy’s impartiality.

Documents presented to the media on Tuesday revealed that the PPAs with Chhattisgarh had not been ratified and sanctioned by the Telangana State Electricity Regulatory Commission (TSERC). This revelation added fuel to the ongoing dispute over power deals and financial losses incurred by the state.

While defending the previous government’s actions, officials clarified that the agreement with Chhattisgarh only supplied 1,000 MW of power by the end of 2017, forcing Telangana to purchase additional power from the market at a higher cost. The actual per unit expenditure, including transmission charges, was ₹5.64, significantly higher than the claimed ₹3.9 per unit.

KCR’s objections to the Commission of Inquiry have escalated, with demands for Justice Narasimha Reddy’s recusal and labeling the investigation as unlawful. His criticisms come amidst a political landscape where KCR’s TRS party faced a substantial defeat in the recent elections, signaling a shift in the state’s political dynamics.

The controversy surrounding the power deals and financial losses underscores the importance of transparent governance and accountability in public procurement processes. As the inquiry progresses, stakeholders await further developments and clarifications regarding the alleged irregularities and their impact on Telangana’s finances.

Sources By Agencies

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