VIJAYAWADA: Days after the State Cabinet cleared the proposal to procure 7,000 Mega Watt (MW) power from Solar Energy Corporation of India (SECI) for providing nine-hour free power in the daytime for farmers, the Andhra Pradesh Electricity Regulatory Commission (APERC) has given a green signal to procure the same in three tranches, starting September 2024. The commission also permitted the power utilities concerned to enter into a tripartite power sale agreement (PSA) with SECI to purchase power for 25 years.
The commission’s approval is subject to two conditions: The state government shall ensure that the transmission and distribution network is adequately strengthened to cater to the injection of the proposed power before the commencement of power supply, and the Discoms are entitled to claim wheeling and other charges, if any, in supplying the proposed power from the state government.
“The commission is satisfied that the proposed purchase of power will not cause any burden on any consumer category as it is meant for supply to the agriculture sector, the cost of which will be completely borne by the AP government. Equally, the existing Discoms will also be freed from supplying power from their own resources to the agriculture sector, and eventually the supply activity will be taken over by the AP Rural Agriculture Power Supply Company (AP RAPSCom),” the commission said, in proceedings dated November 11, uploaded on Friday. The Discoms will purchase 3,000 MW, 3,000 MW and 1,000 MW starting September 2024, September, 2025, and September, 2026, according to the proposal submitted by the State with a ceiling of 17,000 million units per year.