VIJAYAWADA: The State government has formulated a comprehensive energy roadmap to guarantee uninterrupted, reliable 24/7 quality power supply to citizens while effectively mitigating the severe impact of El Niño weather conditions, announced Special Chief Secretary (Energy) K Vijayanand.
Speaking at the AP Power Co-ordination Committee (APPCC) meeting held on Tuesday at Vidyut Soudha in Vijayawada, Vijayanand outlined the state’s bold plan.
The strategy includes procuring 1,600 MW of new thermal power alongside expanding and establishing over 2,000 MW of advanced Battery Energy Storage and pumped hydro storage projects. The initiative aims to eliminate peak-demand power deficits, significantly lower procurement costs, and enhance overall grid stability.
To meet future demand under Section 63 of the Electricity Act, 2003, the government will procure 1,600 MW of cost-competitive thermal base-load power through Tariff-Based Competitive Bidding (TBCB) on a Design, Build, Finance, Own, and Operate (DBFOO) framework for 12 to 25 years.
Generators nationwide can bid to secure the lowest landed tariff. Developers must maintain 15 days’ coal stock and submit performance bank guarantees. APGENCO can use imported coal during El Niño, with procurement through a transparent competitive bidding process.
The Special Chief Secretary for Energy directed the power distribution companies (DISCOMs) to formulate a comprehensive 12-month advance power supply plan extending through next September.
To prevent solar energy spillage during the day and meet evening peak demands, AP is deploying 1,500 MW / 6,000 MWh of Battery Energy Storage Systems (BESS).
Driven by severe El Niño conditions, average daily power consumption in August surged by 20% year-on-year to 269 MU, with peak daily demand touching 286 MU and September loads expected to reach 14,150 MW.
The government’s proactive infrastructure push ensures unhindered free power for agriculture and uninterrupted power supply for households.
Integrating advanced technologies will fortify the state’s grid against extreme weather challenges, permanently strengthening AP’s energy landscape, Vijayanand expressed firm confidence.
