Energy Minister Balineni Srinivasa Reddy has said that utmost priority is being accorded to supplying power to the agriculture sector for nine hours during day time to give a boost to the rural economy.
The ultimate aim was to create a robust power sector by strengthening the power utilities and make Andhra Pradesh a destination for cost-effective power, Mr. Srinivasa Reddy said in a release on Friday.
The government sanctioned ₹1,700 crore for upgrading the agriculture feeders in tune with the importance given to the nine-hour free supply, he said.
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AP-Transco had undertaken infrastructure development works for better implementation of the scheme, the Minister said, and added that the government intended to make free power to the farmers a permanent scheme.
Solar plant
Mr. Srinivasa Reddy further said that the government was in the process of establishing a 10,000 MW solar power plant to exclusively cater to agriculture.
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“The government is spending ₹8,354 crore on the free power scheme that will benefit 18.50 lakh agriculture connections. This apart, ₹718 crore is being provided for supplying power at subsidised rates to the aqua farmers,” he said.
Besides, the government released 65,565 new agriculture connections in 2019-20.
As part of the efforts to improve the precarious finances of the distribution companies (Discoms), the government released ₹17,904 crore in 2019-20 towards clearing their subsidy arrears.
Out of subsidy arrears of ₹13,391 crore pending as on March 31, 2019, the government released ₹8,655 crore in 2019-20 and ₹9,249 crore towards subsidy announced in 2019-20 and other charges.