State to give Rs 16,000 crore power subsidy to farm sector every year

Govt will also bear `10,000 crore worth power required for operating lift irrigation schemes

HYDERABAD: Chief Minister K Chandrasekhar Rao declared that the state government would give a whopping `16,000 crore power subsidy to farm sector every year. The present power subsidy for the sector was increased from `4,777 crore to `5,400 crore for round-the-clock power supply for the agriculture sector, and the government was ready to give another `500 crore for this, if needed. Besides, the state government would also bear `10,000 crore worth power required for operating lift irrigation schemes including Kaleshwaram. 

At a review on power sector at Pragathi Bhavan on Saturday, KCR said: “Several economists felt it is not good to give more subsidy on power to the farming sector. But I did not agree. With the subsidies given to farmers, agricultural produce worth lakhs of crores will be generated.”
“Officers concerned should start preparing plans keeping in view the estimates and surge in demand for lift irrigation schemes and new industries,” Rao directed the officials. 

The CM also directed officials to divide power supply into five categories as Agriculture, Lift irrigation-Mission Bhagiratha, Commercial, Domestic and Industrial. Treat these categories individually and prepare estimates on how much would be demand for each category, Rao said. 

There would be substantial increase in demand for these five categories. Along with growth in commercial and domestic categories, there would be a lot of increase in demand for agriculture and Lift Irrigation Schemes. With this there will be major changes in power supply, he said.

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