The State with power deficit will have the first right of refusal to purchase surplus power from the other bifurcated State post division for a period of 10 years, according to the ‘secret’ note approved by the Union Cabinet on Thursday.


The modalities related to the power distribution and other aspects during and post division of Andhra Pradesh are prescribed in the item number VII of the note.

Once bifurcated, the units of APGENCO in the united AP shall be divided based on geographical location of power plants.

Agreements to continue

The existing power purchasing agreements with the respective Discoms shall continue for both the ongoing projects and the projects under construction.

The present Andhra Pradesh Electricity Regulatory Commission (APERC) shall function as a joint regulatory body for a period of not exceeding six months within which time separate SERCs shall be formed in both successor States. The State Load Despatch Centre (SLDC), on the other hand, will be a joint centre for two years before which both the States are expected to set up respective SLDCs. However, the present SLDC will function under the direct administration and control of the Southern RLDC at Bangalore.

Common utility

The transmission lines of APTRANSCO of 132 KV and higher voltage cutting across the successor States shall be deemed as Inter-State Transmission System (ISTS) lines.

The existing APTRNSCO shall continue to function as a common utility till the successive States form their own facility.

The districts of Kurnool and Anantapur shall be re-assigned to the power distribution company, Andhra Pradesh Southern Power Corporation Limited (APSPCL), according to the note.


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