Dispute continues between TS, AP over power dues

Both States favour reconciliatory approach; officials of TS utilities concerned over delay in bifurcation of assets and liabilities

November 04, 2016 12:00 am | Updated December 02, 2016 01:25 pm IST - HYDERABAD:

The dispute between Telangana and Andhra Pradesh over pending dues continues even as the Central utilities, including the Southern Regional Load Dispatch Centre, have refused to intervene in the matter.

The Andhra Pradesh power utilities are claiming that their Telangana counterparts are yet to repay the dues in excess of Rs. 1,800 crore for utilising power supplied by them in the past two-and-a-half years.

The issue of dues took the centre stage during the recent meeting convened by the Southern Regional Power Committee following a letter addressed by APTransco and Genco Chairman and Managing Director K. Vijayanand seeking directions to the TS utilities for repayment of dues in a time-bound manner.

The SRPC refused to intervene in the matter claiming that regulation of inter-State units or giving any orders to TS Discoms for release of payment did not fall under its jurisdiction. It wanted the two States to amicably resolve the issues. Following the AP utilities’ letter, the Telangana power utilities prepared a detailed counter to substantiate its claims on dues pending from the AP utilities.

Accordingly, it is claiming that the AP power utilities owe dues to the tune of Rs. 1,809 crore to it. The amount is calculated on the basis of Rs. 679 crore due from AP Discoms and APTransco, Rs. 2,608 crore on account of repayment of loans and investment in APGenco Trust in addition to other investments of Rs. 928.6 crore made in the erstwhile united State.

“Even after adjusting Rs. 2,406 crore which we are due as claimed by the AP utilities, we should receive Rs. 1,809 crore from AP,” a senior official told The Hindu .

Officials of the TS utilities are concerned over the delays in bifurcation of assets and liabilities of the power sector which fall under the Schedule IX institutions. As a result, loans availed by the erstwhile Central Power Distribution Company Limited with Anantapur and Kurnool in its jurisdiction continue to reflect in the books of TS utilities. “We are servicing the loans obtained for network expansion in the two districts in spite of Section 53 of the AP Reorganisation Act mandating that assets and liabilities will be distributed on the basis of geographical location of the commercial or industrial establishment,” the official said.

TSGenco Chairman and Managing Director D. Prabhakar Rao favoured a reconciliatory approach for resolving the disputes amicably and TS utilities would welcome any such initiative by their AP counterparts.

AP Energy Secretary Ajay Jain said the recent meeting of the officials of two utilities paved the way for resolution of controversy over payment of monthly bills. “We want some officials from our side and some from their side to get together and resolve the issues across the table,” he said.

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