AP government assures electricity tariffs will not be increased

Our Bureau Hyderabad | Updated on December 06, 2020

Despite heavy revenue deficit owing to Covid-19 pandemic induced lockdown and severe financial crisis of Discoms, the Andhra Pradesh government has said it will not increase electricity tariffs for the second consecutive year.

Accordingly, AP Energy Minister Balineni Srinivasa Reddy, said, the AP Discoms have filed their Annual Revenue Requirement (ARR) before the Andhra Pradesh Electricity Regulatory Commission (APERC) outlining their plans.

Launching a new logo of AP State Energy Conservation Mission (APSECM), the Minister said Chief Minister Y S Jagan Mohan Reddy is committed not to burden people of the State from tariff hike. And keen to strengthen the State power utilities and increase public participation in the power sector.

“Our objective is to provide quality, reliable and affordable 24 hours power supply to all domestic, commercial and industrial consumers and 9-hour free power supply to farming community during daytime,” he said.

“The Government has initiated measures to improve financial and operational performance of power utilities. We believe that cost effective power will help to boost industrialization and give impetus to economic development in the State,” the Minister said.

“The State Government has already released Rs 17,904 crore in 2019-20 and till now for clearing subsidy arrears of Discoms that were pending as on March 31, 2019,” the Minister said.


Despite the financial constraints, the State Government is implementing 9-hours free power to the agriculture sector and providing subsidy for domestic consumers as well for the first time in the State. The Government allocated Rs 8353.58 crore for free power scheme and is providing Rs 717.39 crore to aqua farmers to supply power at subsidy rates and Rs 1707.05 crore towards domestic subsidy.

State Energy Secretary Srikant Nagulapalli said “We have to focus on the needs of consumers and deliver superior consumer services. The government has asked the power utilities to become more consumers centric. We are striving to meet the expectation of consumers and government as well, in a more effective way,” he said.

The Secretary said the AP State Energy Conservation Mission would conduct energy conservation week from December 14-20, 2020 with the objective to create awareness among people on efficient use of energy. The Government is considering energy efficiency as one of the most critical tools to achieve cost effective power and reduce wasteful energy consumption.

Published on December 06, 2020

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