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Casting a shadow on city residents’ hopes on getting uninterrupted power supply in the days to come, the Telangana State government has decided to abandon the proposed natural gas-based power project at Shankarpalli in Ranga Reddy district on Saturday.
- Non-availability of gas cited as reason
- KCR asks energy officials not to go ahead with land acquirement
- Project was conceived in 2002 to meet raising power needs of Hyderabad
Hyderabad: Casting a shadow on city residents’ hopes on getting uninterrupted power supply in the days to come, the Telangana State government has decided to abandon the proposed natural gas-based power project at Shankarpalli in Ranga Reddy district on Saturday. The project, which was considered as the lifeline for Greater Hyderabad to meet the energy demands, was scrapped due to non-allocation of gas by the Centre, according to officials.
The long-pending project with an installed capacity of 1600 MW, located 30 km away from the State capital, was approved by the Union Ministry of Power and also got all statutory approvals including environmental clearances during the first half of 2014. Before the division of the State, the APGENCO, the official agency which had taken up the project, pleaded with Union government for the allotment of required gas but the Centre turned down its plea.
The officials of the TSGENCO told The Hans India that the Chief Minister K Chandrasekhar Rao instructed the State Energy Department not to go ahead with land acquirement and other basic infrastructure development at the project site until the Centre assured gas supply. Initially, KCR was keen to take up the project on war-footing as it would have helped the government to overcome power shortage and also meet the energy requirements of Greater Hyderabad.
The officials said that the project would not be taken up unless the Centre gives a firm commitment with regard to supply of gas. The plant would require an estimated amount of 5 MMSCMD gas (Million Metric Standard Cubic Meter per Day). The total cost of the project is estimated at Rs 4000 crore.
It may be recalled that the project was conceived in 2002 during the the Telugu Desam Party (TDP) regime. The Detailed Project Report (DPR) prepared by the then government said that the objective of setting up of the power plant in the city was to meet the increased power demand in Greater Hyderabad.
Initially, it was planned to set up Naphtha-based project but due to non-availability of required fuel, APGENCO converted it into natural-gas based plant on the advice of the Ministry of Petroleum and Natural Gas.

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