CM Naidu Urges Andhra Power Utilities to Avoid Tariff Hike

rapid Summary

• Andhra Pradesh CM N. Chandrababu Naidu urged power utilities to avoid passing tariff burdens onto consumers and instead explore alternative revenue streams, such as leasing AP-Transco’s fiber optic network, wich could generate ₹7,000 crore.
• He emphasized reducing Transmission & Distribution (T&D) losses from the current 9%,improving feeder management,and minimizing power purchase costs.
• Plans were proposed to generate more Renewable Energy (RE) to meet a projected 8.90% increase in consumption over the next two to three years.
• Naidu directed officials to turn Andhra Pradesh into a Green Energy Hub through short-, medium-, and long-term strategies while cutting RE production costs.
• He advocated modern tools like weather monitoring sensors and drones for better power generation adjustments and efficiency.
• Officials reported peak consumption of 270 Million Units recently; demand is anticipated to rise considerably by 2025-26 to roughly 12,700 MW.
• Wind energy costs ₹4.60/unit compared with thermal power at ₹5-₹6/unit; A.P. holds potential for generating up to 65 GW of wind energy alongside hydropower opportunities in Rayalaseema.
• Renewable Energy projects worth ₹3.19 lakh crore have reportedly been grounded since mid-2024.
• Smart meters are prohibited for agriculture; citizen services will now be accessible via WhatsApp ‘Mana Mitra’.
• Central government support was suggested for coal procurement needs of AP-Genco’s thermal units.

Indian Opinion Analysis

The measures outlined by CM N. Chandrababu Naidu signal an aggressive push toward renewable energy adoption in Andhra Pradesh amidst growing demand projections over the next few years. His call for green energy strategies aligns with global sustainability priorities while addressing local challenges such as T&D losses and high dependency on thermal power purchases.

Leveraging alternative revenue mechanisms-like monetizing fiber optic networks-could ease financial pressures without burdening consumers through higher tariffs. However, achieving ambitious targets like becoming a Green Energy Hub may require robust execution frameworks, efficient auditing systems, and collaboration between state agencies and private players.

The focus on modern monitoring tools demonstrates an intent toward technology-driven solutions that enhance operational efficiency across energy production sectors while maintaining cost-conscious approaches like wind energy utilization over conventional methods.

Considering escalating consumption demands projected post-2025, proactive ramping up of renewable infrastructure is crucial-not only for meeting supply needs but also positioning Andhra Pradesh as a leader in enduring progress within India’s broader climate framework.

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