Supply from 2x520 MW coal-fired power plant of Hinduja National Power Corporation Limited (HNPCL) is snowballing into a controversy even as the company is giving the finishing touches to commission one of its units.
HNPCL, part of Hinduja Group, and the distribution companies signed a Memorandum of Understanding on May 17, 2013 when the State was undivided. Post-bifurcation, Telangana has sought allocation as per sharing formula advocated in AP Reorganisation Act whereas authorities in AP apparently want 100 per cent supply to it.
HNPCL, which invested around Rs.6,000 crore on the project set up at Palavalasa in Pedangantyada mandal about 50 km from here, wants to commission the second unit three months after launching production from the first one. “Now we are at pre-commissioning stage,” an official of HNPCL told The Hindu on Saturday.
After the MoU, the power purchase agreement has to be signed. While an official of APEPDCL opined that since the project was located in AP and the project proponent had been doled out several benefits, power should be made available exclusively for AP.
“Land, water and infrastructure and other facilities have been offered to HNPCL at a concessional rate to encourage development in this area. Hence, only AP should get the power,” said O. Naresh Kumar, vice-president of Vizag Development Council.
The power drawn from two stages of 2,000 MW NTPC Simhadri Thermal Power Project located at Deepanjalinagar near here is being shared by Telangana and AP as per a formula devised by the Central authorities.
“We have no say in it and whatever formula the government asks us to follow, we will abide by it,” an official of NTPC said. There will be no controversy over drawal of power from NTPC’s Greenfield 4,000 MW power plant proposed near Pudimadaka in Visakhapatnam with an investment of Rs.24,000 crore as it is being established after bifurcation.