Exploitation, Discrimination and Neglect of Power Sector in Telangana Region

Exploitation, Discrimination and Neglect of
Power Sector in Telangana Region
In the
Combined State of Andhra Pradesh
By
K.Raghu
Coordinator
Telangana Electricity Employees Joint Action Committee
(TEEJAC)

Agenda
1 Power Sector in Telangana
2 Employment in Telangana
3 Telangana Power Sector – Myths & Realities
4 Present Power Crisis- Discrimination of Telangana
5 Suggestions for Building Telangana Power Sector

History of Telangana Power Sector
 Hyderabad State Electricity Department (HSED) was
established in 1910.
Madras State Electricity Department (MSED) was
established in 1927.
Andhra State Electricity Department (ASED) was
established in 1953 with the formation of Andhra State.
Andhra Pradesh Electricity Department (APED) was
established in 1956 after the formation of Andhra Pradesh.
APSEB was established in 1959.

History of Telangana Power Sector
 APSEB was unbundled into APGENCO, APTRANSCO and
4 Distribution companies (APEPDCL, APSPDCL, APCPDCL
and APNPDCL) after 1999.
APCPDCL and APNPDCL serve Telangana Region
(including Anantapur and Kurnool).
APEPDCL and APSPDCL serve Andhra/Rayalaseema
Regions.

Injustice in Power Sector Development in
Telangana
 Telangana region is endowed with abundant natural
resources like water and coal which are essential for the
development of Power Sector.
 However most of these resources have been diverted for
the development of other regions of Andhra Pradesh.
 This led to underdevelopment of power production
infrastructure, and loss of employment opportunities in
Telangana.

Installed Generating Capacity in AP
Sector Telangana Seemandhra
Present Capacity
State Sector (APGENCO) 4825.26 4099.60
Central Sector (NTPC, NLC, NPCIL) 846.83 2268.91
Private Sector 152.00 3649.60
Sub Total 5824.09 10018.11
Projects under Construction
State Sector (APGENCO, SCCL) 6060.00 13392.00
Sub Total 6660.00 16152.88
Total Capacity
State Sector (APGENCO, SCCL) 10885.26 17491.60
Grand Total 12484.09 26170.99
Total State
Telangana 37%
Seemandhra 63%
Telangana 27%
Seemandhra 73%
Telangana 31%
Seemandhra 69%

APGENCO Projects Under Construction & Under Development (MW)
Station Telangana Seemandhra
Rayalaseema TPP Stg-IV 600.00
Kakatiya TPP Stg-II 600.00
SDSTPS Krishnapatnam Stg-I 1600.00
IGCC Plant at Vijayawada 182.00
Mega Thermal Power Project at Vadarevu 4000.00
Sattupally TPS 600.00
Thermal Power Project at Srikakulam 2400.00
Nuclear Power Plant at Pulivendula 2000.00
Gas based Power Project at Karimnagar 2100.00
Gas based Power Project at Shankarapalli 1000.00
SDSTPS Krishnapatnam Stg-II 800.00
Dr.Narla Tatarao TPS Vijayawada Stg-V 800.00
Kothagudem Stg-VII 800.00
Total Thermal 5100.00 12382.00
Lower Jurala HEP 240.00
NS Tailpond dam PH 50.00
Pulichintala HEP 120.00
Polavaram HES 960.00
Total Hydro 360.00 1010.00
Total APGENCO 5460.00 13392.00
Telangana 29%
Seemandhra 71%

Injustice in Power Sector Development in
Telangana
 The Total Power Demand in Telangana region is around
56%-60% of the total demand in Andhra Pradesh, where as
the installed capacity in this region is only 37%.
 If installed capacity on account of ‘infirm’ Hydel stations is
ignored, installed capacity in Telangana region is only 17% of
the total installed capacity of AP.

Reasons for Under Development
 Diversion of Projects from Telangana Region.
 Not Taking up of Several Projects in Telangana Region.
 Neglect of Telangana Power Sector.

Diversion of Projects from Telangana Region
 Shifting of Manuguru (Bhadrachalam) Power Project from
Manuguru to Vijayawada.
 Construction of Rayalaseema Thermal Power Plant
(RTPP).
 Handing over of Super Thermal Power Plant in
Ramagundam, Karimnagar to NTPC.

Financial Burden due to handing over of VTPS & Rayalaseema Thermal Power Project
(RTPP).
Station Variable Rate (Rs./kWh)
VTPS (I,II,III) 1.56
VTPS –IV 1.40
RTPP-I 2.03
RTPP-II 2.03
RTPP-III 2.03
KTPS (A,B,C) 1.31
KTPS - D, VI 1.13
RTS - B 1.61
KAKATIYA - I 1.16
38% Excess
80% Excess
ARR Filings of APCPDCL 2010-11

AP GENCO Thermal Energy Availability (Mus)
S.No. Station Name FY 2010-11
1 VTPS - I, II,III 8724.09
2 VTPS - IV 3547.56
3 RTPP-I 2825.86
4 RTPP-II 2970.37
5 RTPP-III 230

Additional Burden on Consumers due to shifting of Plants from
Telangana Region
Plant Energy(mu)
Excess
Rate(Rs/unit)
Addl. Burden
(Rs. Cr)
VTPS 12271 0.43 527.65
RTPP 6025 0.9 542.25
Total 1069.9

Projects not taken up in Telangana Region
 Erstwhile APSEB had conducted detailed site investigations
and identified several locations in Telangana region suitable
for setting up power plants.
 Many of these locations were identified long back 1966-67.
 Successive governments have neglected construction of
these projects and preferred to concentrate on Andhra region
 The reasons for not taking up these Projects were never
stated any where.

Projects not taken up inTelangana Region
S.No. Name of the Project Location District Capacity
Ref. (APSEB
Adm. Report)
1 Kuntala Hydro Electric Scheme Across river Kadam Adilabad 24 MW 1966 - 67
2 Pranahita Hydro Electric Scheme
Across river Pranahita, a tributary of
Godavari
Adilabad 280 MW 1966 - 67
3 Inchampally Hydro Electric Scheme Across river Godavari Karimnagar 600 MW 1966 - 67
4
Singareddy Hydro Electric Scheme,
Dummagudem
Across river Godavari Warangal 192 MW 1966 - 67
5 Dindi Hydro Electric Scheme On North East Canal of the Project Nalgonda 21 MW 1966 - 67
6 Sankarpalli Gas Power Station Sankarpalli Ranga Reddy 1400 MW 2000 - 01
7 Karimnagar Gas Power Station Nedunuru Karimnagar 2100 MW 2004 - 05
8 Sattupalli Thermal Power Station Sattupalli Khammam 600 MW
10 Thermal Power Project (BPL) Ramagundam Karimnagar 520 MW
Total 5737 MW

Neglect of Telangana Power Sector
 Delay in Construction of Sagar Tail Pond Dam.
 Kinnerasani waters to Dhavaleshwaram.
 Telangana Power Sector Lands to Andhra Capitalists.
 Neglect of Telangana Region in various electrification
schemes taken up by Central Government.

Neglect of Telangana Power Sector
Electrification Schemes
Abnormal Delays in
 Construction of Sub-Stations for Lift Irrigation Projects.
 Implementation of High Voltage Distribution System (HVDS).
 Indiramma Programme.
 Rajiv Gandhi Grameen Vidyutikaran Yojna (RGGVY) programme.
 Neglect in Setting Up Departmental Stores, Hot lines Sub-Divisions in
APTRANSCO.
 Execution of works- Regionwise representation of contractors

Lift Irrigation Projects
Telangana Lift Irrigation Schemes
Mahaboobnagar LISs Karimnagar LISs
5 schemes 6 EHT substations
Not done by APTRANSCO, handed over to Irrigation
dept
Taken up in 2007, only one Substation
Commissioned
Started in 2005, not even a single project completed Only tendering completed for balance substations
Problems with terminal arrangements for 3 schemes Budget: Rs 106 cr released out of total of Rs 189 cr
Budget: Rs 16 cr released out of total Rs 159 cr

Andhra Lift Irrigation Schemes
Kurnool, Anantapur Kadapa LISs
10 Sub-Stations 6 EHT substations
Work commenced in 2007 Taken up in 2007
All commissioned
3 substations and lines commissioned, others are
nearing completion.
Budget: Rs 360 cr released out of total Rs 367cr at a
time
Budget: Rs 200 cr released out of total of Rs 200 cr
at a time

Andhra Lift Irrigation Schemes
Kurnool Chittoor
HNSS extension Scheme at Muchumarri HNSS Phase-2
Scheme formulated in March/2012 Scheme formulated in March 2012
Budget Rs 60.15 cr released. Entire Budget Rs 192.00 Cr released.

HVDS Scheme
Implementation of HVDS to Agricultural Pump Sets
33.85% 12.73% 73.1% 26.9%
Region
No. of Agricultural
Services as on
31.03.20009
HVDS
Implemented
Services
%
Expenditure
Incurred (Rs. In
Crores)
%
Andhra 1114114 377117 33.8 1310.55 73.1
Telangana 1566557 199413 12.7 483.61 26.9
Total 2680671 576530 1794.16

Indiramma Scheme
Government of Andhra Pradesh has launched “Indiramma” (Integrated Novel
Development in Rural Areas and Model Municipal Areas) scheme from 1st
April 2006
76.1% 23.9%
Region Rural Urban Total %
Andhra 1327141 143563 1470704 76.1
Telangana 437413 22579 459992 23.9
Total 1764554 166142 1930696
No.of
connections

RGGVY Scheme
Rajiv Gandhi Grameen Vidyutikaran Yojna (RGGVY) programme:
70.5% 29.5%
Region
Funds Released
Rs. In Crs
%
Andhra 329.20 70.5
Telangana 138.39 29.5
Total 467.59

Departmental Stores
Neglect in setting up of Departmental Stores & Hotline Sub-Divisions
 With 13 Districts in Andhra region have 7 departmental stores and 7 Hotline
Sub-divisions.
 With 10 Districts in Telangana region have only 1 departmental store (created 50
years ago) and 2 Hotline Sub-Divisions

Story of APCPDCL
 APSEB was unbundled into APGENCO, APTRANSCO
and Four Distribution Companies on 01-02-1999 as a result of
enactment of Andhra Pradesh Electricity Reform Act 1998.
 Originally it was contemplated to have only Telangana
districts in APCPDCL
 Later, two Andhra districts, Anantapur and Kurnool were
included in APCPDCL.
 This made APCPDCL unwieldy and half of the states
electricity demand (46%) comes from APCPDCL while other 3
discoms contributing only 54%.

Story of APCPDCL
 This was done with the intention of paving way for Andhra
People to enter key administrative and managerial positions.
 As expected almost all the directors and Chairmen of
APCPDCL appointed since the formation of the company
belonged to Andhra region.
 Only recently, when the demand for Telangana reached its
pinnacle, Andhra rulers tried to assuage the feelings of
Telangana people by appointing two directors from Telangana
region in the month of January, 2010.

Story of APCPDCL
 This has also allowed many employees from Andhra region
find their way to Hyderabad pushing aside the employees of
Telangana region.
 The larger size of APCPDCL has resulted in many
problems for the consumers of the Company in terms of
quality of service.
 The spirit of reform process was thrown to winds by Andhra
rulers for their insatiable greed for power.

Execution of Works
 APSEB and its successor entities dominated by Andhra
people have encouraged contractors of their region through
various means.
 Obviously majority of registered contractors with power
utilities belong to Andhra region.
 For example, in APTRANSCO, out of 30 registered
contractors 25 belong to Andhra region and only 5 contractors
belong to Telangana region.

Agenda
1 Power Sector in Telangana
4 Samaikyandhra Slogan Profits the Capitalist s
5 Power Sector Development with Separate Telangana

Employment in Telangana
 Power sector creates ample Employment in various
segments ie Generation, Transmission and Distribution.
 Each major generating station requires thousands of
employees and corresponding transmission and distribution
networks require even more number of employees.
 Decisions of the government in creation of power
infrastructure play very important role in creation of
employment to various regions.

Appointments of Chairmen in Power Sector
Chairmen from 1959-1999
Telangana Andhra Telangana %
Duration in Days 730 10952 6.2
No. of Chairmen 2 7 22.2
Chairmen from 1974-1999
Duration in Days 0 7294 0
No. of Chairmen 0 4 0

Appointments of Board of Directors in Power Sector
Board Members of APSEB during 1959-1999
Region Telangana Andhra Telangana %
Duration in Days 11379 70077 14
No. of Board Members 16 89 15.2
Board Members of APSEB during 1974-1999
Region Telangana Andhra Telangana %
Duration in Days 5116 31981 13.8
No. of Board Members 7 54 11.5

Appointments of Board of Directors in Power Sector
Region wise Duration of Directors in Days (1999-2010)
Jurisdiction of
Company
GENCO 5831 16002 26.7 Entire AP
TRANSCO 5817 17161 25.3 Entire AP
NPDCL 7246 8566 45.8 Telangana
CPDCL 5145 15510 24.9 85% Telangana
SPDCL 546 22344 2.4 Andhra
EPDCL 82 10366 0.8 Andhra
Overall 24667 89949 21.5 --

Loss of Jobs to Telangana Youth
Telangana youth have lost thousands of jobs in power
sector mainly due to three reasons
 Firstly, diversion of projects from Telangana region to
Andhra region.
 Secondly, non-execution of potential generation projects in
Telangana region as planned.
 Thirdly, non implementation of Presidential order for 3 ½
decades.

Diversion of Projects
Loss of jobs due to diversion of Generation Plants from Telangana
region to other regions
Telangana Quota in % as
per Presidential Order
60% 70% 80%
Category of Posts Executive Posts Non-Executive Posts O&M Posts Total
VTPS 874 544 1421 2839
RTPP 509 275 805 1589
Total Posts 1383 819 2226 4428
Reserved Quota for
Telangana
829.8 573.3 1780.8 3183.9
50 % of open quota 276.6 122.85 222.6 622.05
Total posts lost by
Telangana
1106.4 696.15 2003.4 3806

Loss of Employment
 The total number of posts lost by Telangana region by diversion of
projects is 3806 excluding NTPC Ramagundam plant.
 A rough estimate of posts lost due to transfer of RTS to NTPS for
Telangana is about 3000. (It is understood that only 150 class IV
employees work in NTPC, Ramagundam TPP).
Total posts lost due to diversion of projects 3806+3000=6806

Loss of Employment
Total posts lost due to not taking up of projects
Capacity lost: 6337MW
Posts lost: 7145 No.s
Assuming
 0.8 nos. per MW for Hydel Stations and
 1 person per MW for Gas based power plant,
 1.6 person per MW for Thermal based power plant.

Non-implementation of Presidential order in APSEB and
its Successor entities
What is presidential order?
Certain safeguards in employment were given to the people of backward
region of Telangana, so that they can survive and get their rightful share in
employment.
 Supreme court on 16-10-1972 held that Mulki rules are constitutional.
 The Andhra leaders never wanted any special protection to be given to
the people of Telangana in spite of their solemn assurance given in
Andhra assembly.
 The violent agitation that followed in Andhra forced the Prime Minister to
declare Six Point formula which resulted in rendering the continuance of
Mulki rules redundant.

 As a result of Six point formula Presidential order was
issued in 1975.
 It was never implemented in erstwhile APSEB.
 Even the successor entities of APSEB were reluctant to
implement the Presidential order.
 However pressure from the movement for Telangana state
forced the power utilities to implement Presidential order from
the year 2009 onwards, but in a limited way, that too with so
many distortions.
 Non implementation of Presidential Order for 34 years has
resulted in loss of many of jobs to Telangana youth.

Before Presidential order implimentation (APCPDCL)
Year AE’s Recruited Tealangana Andhra
2003-04 80 22 58
2004-05 112 46 66
2005-06 84 29 55
2006-07 232 104 128
2007-08 71 37 34
2008-09 61 31 30
Total 640 269(42%) 371(58%)

After Presidential order implimentation
Year AE’s Recruited Tealangana Andhra
2009-10 48 38(79%) 10(21%)

Loss of AE Elec posts in APCPDCL 2003-2009
= 640*(0.79-0.42)
=237
Estimation of total loss of jobs in power sector (Other than
workmen)
=13620*0.56*(0.79-0.42)
=2822

Total Loss of Employment for Telangana Region
Loss of Employment No of posts
Diversion of projects 6806
Not taking of projects 7145
Non implementation of Presidential order 2822
Total posts 16773
Total cadre strength in AP Power Sector is 78000
Percentage of loss to Telangana Region is 21.5%

Telangana Power Sector – Myths & Relalities
 Andhra Rulers have systematically exploited, discriminated
and neglected Telangana power sector.
 On the other hand started spreading wrong information that
Telanagana region is the major beneficiary due to the
formation of combined state of Andhra Pradesh.
 Protagonists of “Samaikyandhra” mainly focus on (i) Tariff
Subsidies/Agriculture consumption and (ii) Percapita
consumption (iii) Investments (iv) Development of Hyderabad
City in support of their argument, which are totally baseless.

Agenda
Subsidies to Telangana Power Sector
Subsidy figures quoted by GoAP are misleading and
misrepresentation of facts.
Shift from Differential Bulk Supply Tariff (D-BST) to Uniform Bulk
Supply Tariff (U-BST)
 APTRANSCO was the bulk supplier of electricity to DISCOMS prior to 2000.
 APTRANSCO followed the system of D-BST to DISCOMS based on consumer
mix.
 As per Electricity Act 2003, trading was separated from APTRANSCO on 09-06-
2005.
 This resulted in adoption of U-BST.

Agenda
Allocation of Generating Capacities among DISCOMS

Agenda
Differencial BST Vs Uniform BST for DISCOMS
DISCOM D-BST IN 2005-06 If Average BST is
allowed %Excess/Less
CPDCL 2.13 1.97 -7.5
EPDCL 2.31 1.97 -14.71
SPDCL 1.79 1.97 +10.05
NPDCL 1.5 1.97 +31.33

Transfer of Expensive Power from Andhra Regions to Telangana
Region
 If it was decided not to consider consumer mix while deciding power
purchase price of DISCOMS, it would have been logical to consider the
location of generating plants for allocation of PPAs.
 Generating plants with cheaper generating costs are located in
Telangana region, and costly private and non-conventional plants are
located in Andhra region.
Transfer of burden of costly power plants on Telangana region increased
power purchase costs for this region and this allowed government to
artificially show higher subsidy to Telangana region.

Average Power Generation Costs From Telangana and Andhra
Regions
Region Average Power
Purchase Cost (Rs/Unit)
Telangana 1.83
Andhra 2.38

Over estimation of Agricultural power Consumption
 The agricultural consumption projected by the utilities in Telangana
region is on higher side and this is resulting in higher subsidy figures for
Telangana region.
o Non-deletion of dysfunctional Pumpsets
o Artificial Lowering of T&D Loss Figures
Total power consumption = Metered consumption + unmetered
consumption + Transmission and
Distribution (T&D) losses

Agricultural consumption and T&D losses in APCPDCL
District
No. of Agricultural
connections as on
30-03-2009
% of Agricultural
Consumption
Total T&D
losses(%)
Anantapur 159549 5.87 14.42
Kurnool 90026 3.31 16.27
Mahaboobnagar 182628 6.72 18.74
Nalgonda 235129 8.65 14.86
Medak 179430 6.6 14.97
Rangareddy 101396 3.73 13.83
1003 0.04 20.9
Total 949161 16.35
o It is clear from the above illustrations that the actual agricultural
consumption is very less when compared to the figures projected by the
Discoms .
o Thus the actual subsidy required for agricultural sector is significantly
less. Utilities have to improve their performance to reduce the T&D losses.

DISCOM wise Agriculture Connected Load Vs Agricultural
Consumption
Region Connected
Load (KVA)
Connected
Load % of
Total Load
Agricultural
Consumptio
n
% Agl.
Consumptio
n
Remarks
Andhra 4854534 47.12 5838 41.4
Anantapur &Kurnool
including
Telangana 5447415 52.87 8230 58.6
Anantapur & Kurnool
deducted
Total 10301949 100 14068 100

 If Consumption in Andhra region is taken as the basis, the
% consumption in Telangana region should be around 46.45%
instead of 58.60% shown by the Discoms.
 And thus Consumption in Telangana region should be
around 6535 mu and not 8230 mu shown. Thus the actual
‘subsidy’ required is lower than what is projected by the
Discoms

Myths About Per Capita Consumption in Telangana
Per capita consumption of electricity of
 AP is 746 units and
 Telangana region comprising of APCPDCL and APNPDCL PCC is
932 and 639 respectively,
 Andhra region consisting of APEPDCL and APSPDCL per capita
consumption is 506units and 542 units respectively.
 Based on this some people argue that PCC of electricity in
Telangana region is high.
 But this is not true and misleading.

Per Capita Consumption of Electricity for Domestic Sector in
Telangana
Name of District in
Telangana Region
PCC of Domestic
sector State Average
% Excess / Less in
comparison with
State Average
Mahbubnagar 45 126 -64.29
Nalgonda 73 126 -42.06
Medak 89 126 -29.37
Warangal 107 126 -15.08
Karimnagar 110 126 -12.7
Khammam 119 126 -5.56
Nizamabad 111 126 -11.9
Adilabad 93 126 -26.19

Per Capita Consumption of Electricity for Domestic Sector in
Telangana
% PCC of Domestic
sector
Average PCC of
Domestic Sector in AP
(Excluding Hyderabad
and Rangareddy)
% Excess or Less
Andhra 142 128 +10.9
Telangana (excluding
Hyderabad and
Ranga Reddy)
93 128 -27.3
Andhra PCC is 52.6% more than the Telangana PCC

Myths about Huge Investments in Telangana Region
 GoAP projects that huge investments are made in Telangana
region compared to Andhra region.
 This statement is also misleading and false.
 Most of the investments that are made in Telangana are only to
benefit Andhra region.

Construction of Srisailam project
 Though the project was constructed as purely for the purpose of
power generation, now most of its waters are diverted to Rayalaseema
region through Pothireddy padu head regulator. oAP projects that
huge investments are made in Telangana region compared to Andhra
region.
 It has zero value for Telangana region.
 But most of the investments are shown in Telangana region.

Srisailam left Bank Power House
 900 MW SLBHES was taken up in early 1990s at an estimated cost
of Rs 400 crores
 Negligence and vested interests on the part of Andhra rulers and
contractors has delayed the project and the cost of the project
escalated to Rs 4000 crore.
 CAG made adverse remarks on the negligence and irregularities
that took place in this project But most of the investments are shown in
Telangana region.
 Telangana has no specific advantage with this project.
 However entire investments are shown in Telangana region.

Construction of Nagarjuna Sagar project
 Most of the investments in Nagarjuna sagar project are shown
under Telangana region.
 But this project is so located to give entire advantage to Andhra
region only.
 Originally during Nizams period it was planned to construct this
project at Nandikonda, about 20 KM u/s of current location. This would
have given huge advantage to Telangana districts.
 But Andhra rulers have intelligently shifted this project down stream,
to take maximum advantage of the project.
 Large areas of Telangana were inundated and it lost its heritage
(several Buddist land marks got submerged).

Construction of Pulichintala project
 Construction of Pulichintala project is taken up against the wishes
and protests of Telangana people .
 This project basically serves the irrigation needs of Andhra people.
 Construction of Pulichintala project is resulting in submergence of
thousands of acres of irrigated lands in Telangana region.
 It is also resulting in submergence of rich mineral wealth (granites,
lime stone etc,.) in Telangana region.
 However as the project is located in Nalgonda district (Telangana),
entire investments are shown under this region.

Water Supply projects in Nalgonda (Telangana) district
 Government of AP has taken up water supply projects in Nalgonda
district to meet the drinking water needs of Hyderabad, where people
from all regions, mostly from Andhra reside.
 However investments are shown as made in Nalgonda district.
 Also huge power consumption in Nalgonda district under pumping
schemes are shown under Nalgonda district.

Kinnerasani
Diversion pipe line From Godavari to Kinnerasani:
 Andhra rulers have violated all norms in taking away Kinnerasani waters to
Dhavaleshwaram for giving waters to third crop in Krish delta.This has
created water shortage for Kothagudem TPS.
 In the month of March’2010 certain units of KTPS were shutdown for want
of water. Alarmed by this APGENCO is laying pipe line to divert water from
Godavari to Kinnerasani.
 This will only pave way for indiscriminate theft of water from Kinnerasani to
Dhavaleswaram.
 About Rs 130 crores are spent on this pipeline work. This entire amount is
shown as investments in Telangana

Singur
 Entire waters from Singur are utilised for Hyderabad
Investments and power consumption for pumping the water
are shown in Medak district

Construction of Dummugudem-Sagar Tail pond diversion
project:
– This project is taken up primarily to divert waters from Godavari
delta to Krishna delta.
– Water will be diverted from proposed Dummugudem dam
through lifts upto Nagarjuna sagar tail pond.
– These waters will be pumped into Sagar main dam using
reversible turbines of Sagar hydro project.
– This water will be used to meet the irrigation requirements of
existing Sagar ayacut.
– This will facilitate diversion of Krishna waters to Rayalaseema
region from Srisailam dam through Pothireddypadu head
requlator.
– However entire investments under this scheme are shown
under Telangana region.

BENEFITS TO ANDHRA
INVESTMENTS IN
TELANGANA
Don’t worry… all
investments are made
in Telangana only…
ANDHRA
TELANGANA

Demand Vs Allocation of Power to DISCOMS
Discom Share of Power
CPDCL 46.06%
SPDCL 22.27%
NPDCL 15.87%
EPDCL 15.80%

 The above allocations were made at the time of transfer of trading
functions from Transco to Discoms in June, 2005 based on power
demand in 2004 in each Discom.
The state of Andhra Pradesh had witnessed severe drought from
2000 to 2004.
Since the power demand in Telangana region is mostly governed
by demand from Agriculture sector, the demand was less in
Telangana region during 2004.

 This resulted in lesser allocation of power to Telangana region.
 No significant modifications were made after that. (NPDCL
allocation was further reduced once).
 This is the reason for higher power cuts in CPDCL and NPDCL
(Telangana region) compared to other two Discoms.

The problem is compounded by the following reasons:
 For CPDCL region, the power demand for Hyderabad (GHMC
area) is much higher and power cuts imposed are nominal
compared to other districts.
 This is forcing CPDCL to divert power from other districts to
Hyderabad from its allocated share of power, resulting in lesser
availability of power for other districts.
 On the other hand, NPDCL is concentrating more on increasing
revenue from trading of available power to other regions.

Details of Power Traded by Discoms:
DISCOM
Power Purchase
Cost (Rs cr)
Revenue from
Trading (Rs cr)
% of traded
power
CPDCL 12897 327 2.5
EPDCL 4816 51 1.1
NPDCL 4162 583 14
SPDCL 6728 69 1
Total 28603 1030 3.6

 It can be seen that 14% of power purchased is traded by NPDCL.
This could be much higher in terms of energy traded.
 It is surprising that while maximum power cuts are imposed in
NPDCL region, the traded power by NPDCL is also maximum among
all the Discoms.
 The practice of differential Bulk Supply Tariff (D-BST), which takes
into account consumer mix of each Discom, for sale of power by
Transco to Discoms was removed from 2005.
 This has resulted in huge revenue gap for NPDCL which has poor
industrial base, forcing it to adopt this unfair practice to bridge revenue
gap, at the expense of consumers of that region

Power Drawals (Excess/Less) recent
Date APEPDCL APSPDCL APCPDCL APNPDCL
4th July 1.98 7.79 2.51 -2.6
5th July 2.13 6.04 2.63 -2.01
6th July 0.76 6.03 -0.02 -3.8
7th July 0.56 5.85 -1.44 -4.52

Suggested allocations to CPDCL & NPDCL (taking into consideration
unrestricted demand, GHMC requirements, consumer mix, lifting of
D-BST etc,.)
Discom Share of Power
CPDCL 0.5
NPDCL 0.2

Agenda
1 Power Sector in Telangan
4 Present Power Crisis- Discrimination of Telangana
5 Suggestions for Building Telangana Power Sector

Kakatiya TThheerrmmaall PPoowweerr PPrroojjeecctt
 Site selected on the basis of (1) Proximity to coal source (2) Low fuel transportation
cost (3) Availability of uninhabited land at reasonable cost.
 Unit 1 (500 MW) is already in operation.
 Unit 2 (600 MW) is under construction; expected by December, 2013.
 As allocated KTK-8 mines (4400 GCV) were not ready, SCCL is providing coal from
KTK3-OC mines & others. Instead of conveyor system, coal is being transported by
road causing (1) damage to roads (2) pollution en-route (3) less quality coal.
 APGENCO has to pursue with SCCL for development of KTK-8 mines and also
should take up development of Tadicherla coal mines immediately.
 It was already envisaged to establish a rail link from the nearest railway station
(Bisugir-sharif) along with the related coal handling equipment to cater the needs of
both stages. But no forward action is taking place.
 Further 3x800 MW units may be established here as abundant coal and land are
available. Water can be drawn from River Godavari.

Sattupalli TThheerrmmaall PPoowweerr PPrroojjeecctt
 1x600 MW unit is proposed near Sattupalli mines.
 Land already identified but there are no serious efforts for land allocation
either by GoAP or APGENCO.
 GoAP allocated water from River Godavari.
 Even though the location is near coal mines APGENCO shelved the project
stating non availability of coal linkage and land allottment.
 APGENCO should immediately take up this project and SCCL may be
approached for supply of coal.
 APGENCO should coordinate with SCCL and SCR to establish a rail link to
Sattupalli from the Khammam-Vijayawada railway line. But no action so far.
 Atleast one more 600 MW unit should be included in planning stage and
may be established in second phase.

Ramagundam TThheerrmmaall SSttaattiioonn
 One 62.5 MW unit is working over the past 40 years since 1971.
 Two 600 MW Units can be constructed by utilizing the available vacant land
and decommissioning the 41 year old 62.5 MW unit.
 As BPL is not furthering construction of 600 MW unit, the project including
land may be transferred to APGENCO.
 Coal can easily be made available as Ramagundam is near to so many
SCCL mines.
 It is well connected to railway line and water can be drawn from Yellampalli.
 Callous attitude of APGENCO in exploring this project must be represented.
 By taking up 2x600 MW in existing land and 1x600 MW from BPL, the total
station capacity of 1800 MW can be established.

Thermal Stations in Nizamabad aanndd MMaahhaabboooobbnnaaggaarr
 There are no thermal power stations in these districts.
 Two 600 MW Units can be established elsewhere in Nizamabad district
along the railway line.
 Water can be sourced either from Nizamsagar or Sriramsagar.
 Coal linkage to Parli thermal power station from SCCL can be diverted to
Nizamabad thermal station by making alternative coal linkage to Parli TPS
either from Western or Central coal fields of Coal India Ltd.
 GoAP gave approval for establishment of thermal power station in
Mahaboobnagar district to a private company. But no activity is taking place.
 Land and water sanctions may be diverted to APGENCO and GoAP may
authorise APGENCO to establish 2x600 MW power project.
 By taking up 2x600 MW projects in these two districts will improve quanity
and quality of power, thus development of the local region.

Karimnagar GGaass bbaasseedd PPoowweerr PPrroojjeecctt
 Foundation stone laid for Stage-I (700 MW) in February, 2010. No activity
since then.
 Tenders are being postponed stating non availability of gas linkage.
 APPDCL initiated Krishnapatnam-I and Karimnagar projects simultaneously
in 2007. Krishnapatnam-I (2x800 MW) is already under construction and
Krishnapatnam-II (1x800 MW) is about to start. But GoAP / APGENCO is not
showing any interest for Karimnagar project.
 Project may be taken up with RLNG immediately as all allocations and
clearances are in place.
 GoAP may be pressed to address GoI for allocation of 9.72 MMSCMD gas
for 2100 MW Karimnagar power project.
 As per Tata Consultancy Services drawings, the land at Nedunur is
sufficient for establishment of 5x700 MW but the ultimate capacity of 3500 MW
is not being made public by APPDCL / APGENCO.

Shankarapally GGaass bbaasseedd PPoowweerr PPrroojjeecctt
 1000 MW Shankarapally gas based power project is proposed to meet the
power requirements of Hyderabad Metropolitan area and Metro Rail Project.
 Land already available.
 Water can be made available either from Singur or from Chevella reservoir.
 Project may be taken up with RLNG immediately.
 GoAP may be pressed to address GoI for allocation of 4.62 MMSCMD gas
for this power project.
 If delayed any further, it will be difficult for APGENCO to continue to
possess the land.

KKaanntthhaannaappaallllyy PPrroojjeecctt
 This Project is proposed across River Godavari.
 It will facilitate good water management in Karimnagar/
Warangal/Khammam.
 By properly adjusting the height of dam 450 MW can be generated.
 Cheap hydel power generated may be utilised for many lift irrigation
schemes.
 GoAP may be pressed to give necessary approvals for this project
and APGENCO to take up power house part.

800 MW unit aatt KKootthhaagguuddeemm--VVIIII
 APGENCO contemplating two more 800 MW units in Andhra region
and proposed one 800 MW unit at Kothagudem.
 Till date there are no serious efforts in this direction. If delayed
further, additional land required may pose a big problem (eg 1/70 Act,
etc.)
 APGENCO may proceed with two units in Andhra region but put off
this unit citing land acquisition problems.
 Water is already available. Coal can easily sourced from SCCL, if
efforts are made in proper direction.

OOtthheerr IIssssuueess
 To procure power in future APDISCOMS have to finalize tenders under Case-II
bidding.
 Land should be acquired by the Licensee under Case-II bidding.
 All sites identified by APGENCO for establishment of these power projects are
located in Coastal region.
 This is because the senior officers in various wings dealing with new proposals,
land acquisition and other requirements/sanctions are exhibiting bias.
 Coal is being allocated to power projects in coastal region from the coal mines
being developed by APMDC in other states. APMDC has 450 million tonnes share
in Orissa and 150 million tonnes share in Madhya Pradesh.
 On one side SCCL coal is diverted to VTPS/RTPP depriving Telangana region,
even the coal from other states also is being allocated to plants proposed in that
region.
 Nil or very less activities are taken up in Telangana region Under CSR
programme compared to many such activities elsewhere.

Station Present
Capacity
Ongoing APGENCO
Proposed
TEEJAC
Addition
Ultimate
Capacity
Kothagudem 1720.0 -- 800.0 -- 2520.0
Kakatiya 500.0 600.0 -- 2400.0 3500.0
Ramagundam 62.5 -- -- 1800.0 1800.0
Sattupalli -- -- 600.0 600.0 1200.0
Nizamabad -- -- -- 1200.0 1200.0
Mahaboobnagar -- -- -- 1200.0 1200.0
Total Thermal 2282.5 600.0 1400.0 7200.0 11420.0
Karimnagar -- -- 2100.0 1400.0 3500.0
Shankarapalli -- -- 1000.0 -- 1000.0
Total Gas based 0.0 0.0 3100.0 1400.0 4500.0
Lower Sileru 460.0 -- -- 230.0 690.0
Priyadarshini Jurala 234.0 -- -- -- 234.0
Srisailam Left 900.0 -- -- -- 900.0
Nagarjunasagar 815.6 -- -- -- 815.6
NS Left Canal 60.0 -- -- -- 60.0
Pochampad 36.0 -- -- -- 36.0
Nizamsagar 10.0 -- -- -- 10.0
Singur 15.0 -- -- -- 15.0
Mini Hydel 11.2 -- -- -- 11.2
Lower Jurala -- 240.0 -- -- 240.0
Pulichintala -- 120.0 -- -- 120.0
Kanthanapally -- -- -- 450.0 450.0
Total Hydro 2541.8 360.0 0.0 680.0 3581.8
Solar at Jurala 1.0 -- -- -- 1.0
Total APGENCO 4825.3 960.0 4500.0 9280.0 19502.8
PPrrooppoosseedd
AAPPGGEENNCCOO
UUllttiimmaattee
CCaappaacciittyy ((MMWW))
iinn TTeellaannggaannaa

Strengthening Transmission and DDiissttrriibbuuttiioonn NNeettwwoorrkk
 400 KV SS at Suryapet
 Laying Gajwel/Siddipet 220 KV line from 400 KV SS at Gajwel.
 Other Substations.
 Investments in Distribution Network.

THANK YOU
Telangana Electricity Employees Joint Action Committee
(TEEJAC)

Exploitation, Discrimination and Neglect of Power Sector in Telangana Region

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