Cut power purchase cost to Rs 4.6 per unit, focus on renewable energy: Andhra CM tells officials

Andhra Pradesh Chief Minister N Chandrababu Naidu on Monday directed officials to reduce power purchase cost to Rs 4.6 per unit while accelerating renewable energy generation and adopting technology-driven reforms in the sector. Meanwhile, YSRCP leaders and former ministers Kurasala Kannababu and Vellampalli Srinivas demanded immediate restoration of petrol and diesel supply across Andhra Pradesh, alleging that the shortage has severely affected agriculture, transport and daily life.

Andhra Pradesh Chief Minister N Chandrababu Naidu on Monday directed officials to reduce power purchase cost to Rs 4.6 per unit while accelerating renewable energy generation and adopting technology-driven reforms in the sector. Reviewing the Energy Department, the Chief Minister stressed sustained efforts to bring down power costs and improve efficiency through innovation and research. ''Power purchase cost must be reduced to Rs 4.60 per unit by year-end. Officials should study global best practices and ensure reforms benefit the public through effective use of technology,'' said Naidu in an official press release. Officials informed the CM that power purchase cost has been reduced from Rs 5.2 per unit in April 2025 to Rs 4.9 per unit by March 2026. They added that summer power demand is estimated between 275 to 285 million units daily, with total consumption reaching 6,397 million units so far this month, marking a 14 percent increase compared to last year. Naidu emphasised expanding renewable energy capacity, saying more than half of the state's power generation should come from green sources by 2028–29. According to officials, schemes such as PM Surya Ghar and Pradhan Mantri Kisan Urja Suraksha evam Utthaan Mahabhiyan (PM KUSUM) are being implemented, with 52,396 rooftop solar connections and 2.94 lakh agricultural connections provided so far. The Chief Minister directed officials to scale up implementation, targeting two lakh rooftop solar connections per month and completing the first phase of PM KUSUM by December. Further, Naidu proposed setting up an Energy University to promote research and innovation in the power sector and called for utilisation of CSR funds from power utilities like Transco and Genco. He also stressed the need for conducting a comprehensive study on pumped storage projects and expanding environmentally friendly power generation to reduce pollution. Naidu also urged officials to strengthen EV charging infrastructure across the state and create widespread public awareness on electric vehicles. Meanwhile, YSRCP leaders and former ministers Kurasala Kannababu and Vellampalli Srinivas demanded immediate restoration of petrol and diesel supply across Andhra Pradesh, alleging that the shortage has severely affected agriculture, transport and daily life. The opposition leaders said fuel being the lifeline of the economy, must be made available to all sections without delay. ''Fuel supply should be restored within 48 hours as agriculture and transport sectors are reeling under severe distress,'' said the YSRCP leaders, addressing a press conference. They alleged that while neighbouring states such as Telangana, Tamil Nadu and Odisha have adequate fuel availability, the state government failed to secure required stocks. The YSRCP leaders claimed that farmers are unable to operate harvesters due to diesel shortage, while aqua farmers and transport operators are also facing serious difficulties. They further stated that long queues of vehicles have been witnessed at fuel stations across the state, reflecting the gravity of the situation at the ground level. Criticising the government, the opposition alleged that no effective review meetings were conducted to address the issue and accused the leadership of failing to respond promptly. They also claimed that maize farmers are unable to recover input costs and alleged that multiple sections, including farmers, students and workers, are being affected. The YSRCP leaders further alleged that while fuel supply remains disrupted, liquor availability continues uninterrupted across the state. Seeking urgent intervention, they reiterated that the government must restore the fuel supply chain immediately to prevent further disruption to economic activity.