VIJAYAWADA: The state power distribution companies (Discoms) claimed to have saved Rs 95 crore in the first quarter of the current financial year (FY22) through cost effective procurement of power, which averages to Rs 1 crore savings per day in April, May and June this year. The officials said that the state has the potential to save up to Rs 3 crore per day by using various cost-saving initiatives in addition to latest technology to plan the procurement.
“The state energy sector has achieved savings of around Rs 95 crore through cost effective power purchase in the first quarter of FY22, covering April, May and June. On an average, the power utilities have saved Rs 1 crore per day for three months. These estimated savings are based on actual cost of procurement from the market and other short term sources against the weighted average variable cost of approved sources, which were not available on day-ahead basis or got substituted in lieu of cheaper market power availability,” the officials explained, according to a statement on Thursday.
Energy Secretary Srikant Nagulapalli explained that the state consumes Rs 30,000 crore worth of power annually, and hence can likely save around Rs 2 Lakh to Rs 3 crore per day through planned buying and transmitting the right amount of electricity.
Power purchases from the open market account for 80 per cent of the cost burden on the power sector and predicting the demand of power accurately for the next day is critical to control costs, he said. The chairmen and managing directors (CMDs) of the three discoms APSPDCL, APCPDCL and APEPDCL H Haranatha Rao, J Padma Janardhana Reddy, K Santosha Rao, in a meeting with APTRANSCO heads and AP Power Coordination Committee, highlighted the financial savings accrued. The Discom CMDs explained the efforts made in reducing the technical losses and other developmental schemes. They have submitted a report.