Vijayawada: CPM state secretariat member Ch Babu Rao accused the Central and state governments of favouring large corporations and imposing undue financial burdens on ordinary consumers through their solar power initiatives. Speaking online at a public hearing by the Electricity Regulatory Commission regarding the tariff proposals under the KUSUM–3 scheme for agricultural solar power, Babu Rao contended that solar energy, meant to reduce pollution and costs, is instead structured to benefit big companies.

He pointed out a significant discrepancy, noting that while solar power is available at Rs 2 per unit in the open market, the government proposes purchasing it at an “illegal and unethical” Rs 3.18 per unit for farm use.

He condemned the practice of restricting tenders to select firms and the Centre’s rule mandating procurement of solar equipment from only a few chosen companies, recalling a previous, allegedly excessive, agreement by SECI to buy 7,000 MW from Adani at Rs 2.49 per unit.

Babu Rao further claimed the ruling coalition failed to honour its pledge against increasing power charges, alleging that consumers have been burdened with Rs 23,884 crore in surcharges and duty hikes over the past 17 months, with an additional Rs12,771 crore in true-up charges pending approval. He accused the government of passing on thousands of crores in hidden costs despite the Chief Minister's no-hike assurances.

Questioning the rising tariff burdens despite a reported 20 paise per unit reduction in generation costs, he also criticised the continued collection of a 40-paise-per-unit levy. He argued that even with surplus power in the state, surplus solar energy should be used to reduce tariffs across all consumer categories instead of being used to charge fixed costs while forcing the shutdown of thermal plants.

Furthermore, he asked why households supplying surplus rooftop solar get only Rs2.10 per unit while large corporations are paid Rs 3 to Rs 4.

He demanded the cancellation of unlawful charges, a reduction in purchase tariffs through open tenders, and the withdrawal of the proposed Rs12,771 crore true-up burden, urging the Chief Minister to intervene to ensure solar power benefits the people, not corporate interests.