VIJAYAWADA: Allegations of large-scale irregularities in electricity procurement have surfaced during the Andhra Pradesh Electricity Regulatory Commission’s (APERC) public hearing on power tariff proposals for 2026–27.
Petitioner AB Venkateswara Rao (ABV) from the Centre for Liberty (CFL) accused officials of paying for high-grade transformers while procuring lower-grade equipment, resulting in massive financial losses.
ABV claimed that tenders had been floated for premium ‘Star-5’ (EEL-V) transformers under tender number SPMPT-94/24-25, but the purchase order issued (PO 5100007791) specified only “EEL-III” (Star-3) transformers.
Despite this downgrade in quality, payments were allegedly made at the higher ‘Star-5 ‘rate of Rs 1,36,499 per unit. According to ABV, this discrepancy allowed vendors to pocket an additional profit of Rs 50,000 to Rs 70,000 per transformer. Inspection reports dated March 21, 2025, also confirmed that the supplied material was EEL-III.
Responding to allegations, the APERC Chief assured that an inquiry would be held.
Tariff hike hit Railways
During the public hearing organised by APERC in Vijayawada on power tariff proposals for the financial year 2026–27, Indian Railways raised concern over rising tariffs. Railway officials urged the Commission to consider extending tariff rebates similar to those offered in Odisha.