Centre orders Telangana to pay Rs 6,756 crore power dues to AP; KCR govt cries foul

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The Union Power Ministry has directed the Telangana government to pay power dues, including late payment surcharge, to the tune of Rs 6,756 crore to Andhra Pradesh within a month.

According to an order issued to the Telangana government, the dues pertained to the power supplied between June 2, 2014 to June 10, 2017 by APGenco (Andhra Pradesh Power Generation Corporation) to Telangana DISCOMS as per the provisions of the AP Reorganisation Act.

Representations have been received from AP that Telangana has not paid for the power supplied to the state from June 2, 2014 to June 10, 2017, the order said. There is no dispute regarding the amount to be paid for the power dues - the principal amount of Rs 3,441.78 crore and late payment surcharge of Rs 3,315.14 crore (up to July 31, 2022), it said.

"Every right of one party entails a corresponding duty, right and duty are co-joined and as such Telangana must pay the power dues to Andhra Pradesh for electricity supplied to them under the orders of the Govt of India issued under the Andhra Pradesh Reorganisation Act, 2014," it said. Therefore, the Centre, in exercise of powers vested in it under the provisions of the AP Reorganisation Act, ordered Telangana that it shall pay the due amount as mentioned in the order to AP within a time frame of 30 days, according to the order.

Telangana Energy Minister G Jagadish Reddy found fault with the Centre's order, saying the order was unilateral. He said Telangana has told AP government and also Centre during the last several years that, in fact, AP power utilities owe over Rs 12,000 crore to Telangana on various counts.

The Centre, however, has turned a deaf ear to Telangana's pleas, he alleged. Telangana would take legal recourse on the matter, he said.

The order is politically motivated, he alleged, adding that the NDA government is creating hurdles for Telangana as it is the only state in the country providing 24x7 power.