What makes PPAs’ cancellation necessary?

What makes PPAs’ cancellation necessary?
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What Makes PPAs’ Cancellation Necessary. Chandrababu Naidu, the Chief Minister of Andhra Pradesh, has not taken openly the stand of any one state in particular among Andhra Pradesh and Telangana, so far, even on this date.

Chandrababu Naidu, the Chief Minister of Andhra Pradesh, has not taken openly the stand of any one state in particular among Andhra Pradesh and Telangana, so far, even on this date. He has been claiming that either state was important to him equally - stating that - he was for the development of Telugu people. Nevertheless, he represents one particular state in the capacity of the Chief Minister - and - that turns to be the priority for him, even if it is not said openly.

For last one week or so, the matter concerning the cancellation of Power Purchase Agreements (PPAs) was making rounds in the news. Andhra Pradesh state has more number of Power Generation Units as compared to Telangana state. Nevertheless, the then Union Government has allocated the power post bifurcation of the erstwhile Andhra Pradesh to either state based on their prevailing consumption statistics.

Power Purchase Agreements

From one end, the farmers and most number of industries are located in Telangana and towards the same Telangana state requires more units of electric power; and from the other end, in order to give an alluring look to the entrepreneurs who would like to invest in Andhra Pradesh state, there was a need to show them the resources like land and electricity for the establishment of industries. So, concerned with the development of Andhra Pradesh, any person in the capacity of Chief Minister of that particular state would have chosen the same as done by Nara Chandrababu Naidu.

Nevertheless, ethically, it is not justified to snatch a morsel of bread from one person to feed another. Cancellation of PPAs may seem very simple task and the Andhra Pradesh government may even go ahead with their decision. But, there may be other issues for which Andhra Pradesh may depend on Telangana and in counter Telangana may follow the same scheme, thereby making the problems between the states more complicated. It should be a give and take policy between the two states and not otherwise. Already news is making rounds that coal supply has been stopped to Vijayawada and Kadapa thermal power units by Telangana state, in protest over the decision taken by Andhra Pradesh chief Minister on PPAs. By this move, 1200-1300MW power generation has been hampered, reportedly.

The entire issue has resulted only in the enmity between the two states without anybody’s gain. There’s a problem of course, and what’s the solution for that?

The ultimate solution lies in the communication at an appropriate level between the two states. If teams of experts from either state led by their respective Chief Ministers would come together for discussions, surely, an amicable solution could be achieved for any problem (not specifically PPAs related problem). For all that to happen, someone should extend his hand first. Who’s that someone? Surely, that individual is the one who prefers the welfare of the people to his personal ego.

Let’s hope the problem would not go further and ditch the pride of Telugus.

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