Telangana signs MoU to buy 1,000 MW from Chhattisgarh

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Telangana on Nov 3rd, 2014 signed a memorandum of understanding (MoU) with Chhattisgarh for purchase of 1,000 MW electricity.

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Chief minister K Chandrashekhar Rao, who arrived in Raipur on Sunday, met Chhattisgarh CM Raman Singh on Monday following which Telangana principal secretary (energy) S K Joshi and his Chhattisgarh counterpart Aman Singh signed the MoU on behalf of their respective states. An official release issued by the Telangana government said Chhattisgarh had responded positively to its proposal to supply another 1,000 MW in future.

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As against the demand of 6,800 MW, Telangana is now able to meet only 4,400 MW and the severe power crisis prompted KCR to approach the BJP government of Chhattisgarh. As a next step, the officials said, the two governments would formalize a power purchase agreement (PPA) once the Chhattisgarh Electricity Regulatory Commission (ERC) decides the price of the power.

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“The meeting was held in a cordial atmosphere where both sides were accommodative to each other’s concerns,” said a Telangana senior official.

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Chandrasekhar Rao thanked Raman Singh as the former addressed a small gathering comprising ministers and officials from both the states and the media.”People of Telangana and Chhattisgarh are close to each other since the time of Kakatiyas ruled the region. I am thankful to Raman Singh and his government for the support we received from them at a time of dire need,” said KCR.

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As the completion of the procedure and civil works to connect with Chhattisgarh require time, Telangana is exploring the possibility of purchasing power in the interim from neighboring Maharashtra, said the release.

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