High power tariff puts lift irrigation schemes in jeopardy

High power tariff puts lift irrigation schemes in jeopardy
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A move by the TS Transco (Transmission Corporation) and Genco (Generation Corporation) to levy high power tariff on the supply of power to the lift irrigation projects in the state has come as a shocker to the Irrigation department.  

Hyderabad: A move by the TS Transco (Transmission Corporation) and Genco (Generation Corporation) to levy high power tariff on the supply of power to the lift irrigation projects in the state has come as a shocker to the Irrigation department.

The power utilities have told the state Irrigation Department that they will have to pay Rs 6.40 per unit as cost for the supply of power for irrigation needs.

The department feels that this was not fair since the tariff levied for lifting water from the projects was very high and equal to the tariff fixed for the industrial sector in the High Tension (HT) category.

A top official of the state Irrigation department who did not want to be named told The Hans India that the Energy Corporation had finalised the tariff without consulting the irrigation department.

The department had entered into an agreement with the power utilities according to which the power utilities have to provide necessary infrastructure and network for power supply at every lift irrigation project.

The agreement says the power utilities would supply required power in all seasons. To operate all the lifts at all LI projects, about 10,000 MW of power would be required.

This includes even the ongoing major projects like Palamuru – Ranga Reddy, Devadula and Kaleshwaram, Kalwakurthy, Bheema Nettempadu and Koilsagar under the river Krishna and Gutpa and Alisgar projects on Godavari.

Once all the lift irrigation projects become operational by 2017-end, the power required to operate these projects would be nearly 4,800 MW under Krishna basin, 4,700 MW for the projects on Godavari and another 1500 MW would be required for Devadula project.

If the government had to pay Rs 6.40 per unit, the Irrigation Department would have to shell out nearly Rs 6 to Rs 8 crore per day as power tariff.

It would put heavy financial burden on the department every year. In view of this, the department has asked the power utilities to review the tariff structure.

If the power utilities do not accept the plea to reduce the proposed tariff, the department may have to scrap all agreements on the power supply, the source said.

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