AP power utilities to buy 500 to 1,500 MW power from external sources till October 

The Southwest monsoon is likely to disrupt coal mining and transportation across the country, hence the preparedness

As power shortage looms again due to the lack of coal supply, the Andhra Pradesh (AP) power utilities have devised a short term plan to purchase 500 MW to 1,500 MW everyday during the peak hours (5 am to 8 am and 6 pm to 12 am) and round the clock depending on the demand, from July to October, 2022. 

The Southwest monsoon is expected to hamper coal mining and transportation across the country, hence the preparedness to procure power from the exchanges, Energy Minister Peddireddy Ramachandra Reddy was told by officials in a review meeting on Thursday. 

They explained that though India had a mining capacity of over 1,500 Million Tonnes (MT) of coal last year, the total production was only about 780 MT. The coal reserves were not likely to be sufficient for thermal power generation and the possibility of keeping adequate coal stocks looked bleak. 

The monthly electricity demand in the State for July, August, September and October is likely to be 5,684 Million Units (MU), 6,517 MU, 6,071 MU and 6,224 MU respectively. Keeping it in view, the power utilities have resolved to purchase up to 500 to 1,500 MW of power from external sources. 

The DISCOMs have already floated a tender for the short-term power procurement through the DEEP (Discovery of Efficient Electricity Price) portal and put it for reverse auction which concludes on June 28, 2022. The bids are going to be finalised by the DISCOMs on June 29, 2022. 

On the coal front, the AP-Genco and AP Power Development Corporation limited (APPDCL) took steps to import 31 lakh tons of coal. 

Mr Ramachandra Reddy said the government was geared up to face any situation arising from scarcity of coal, and ensure 24x7 quality power supply to the consumers. Stating that the government would buy power even at higher prices in the open market, he called upon the DISCOMs to strive their best for 24x7 power supply.