Congress demands "immediate" cancellation of power purchase agreement with Adani Group during YSRCP govt

Vijayawada (Andhra Pradesh) [India], November 25 (ANI): The Andhra Pradesh Congress Party on Monday demanded the immediate cancellation of the power purchase agreement with Adani Green Energy during the previous YSRCP government under the leadership of YS Jagan Mohan Reddy.
According to a letter by the Andhra Pradesh Congress Chief YS Sharmila to Chief Minister Chandrababu Naidu, the deal is projected to impose a "massive burden of Rs 1.50 lakh crore on the people of Andhra Pradesh over the next 25 years."
"Evidence suggests that the then Chief Minister YS Jagan Mohan Reddy received kickbacks amounting to Rs 1,750 crores from the Adani Group in exchange for this agreement. Investigations conducted by international agencies have already revealed that bribes were taken during the execution of this deal. These allegations have been further substantiated by legal proceedings in the United States, where it has been proven that Jagan Mohan Reddy and his associates directly benefited from kickbacks," the party alleged.
"This corrupt agreement with Adani's Green Energy Company in 2021 has tarnished not only the reputation of the former Chief Minister but also the image of Andhra Pradesh on a global platform. The deal, executed without proper due diligence, has led to a massive financial burden on the state, with an estimated cost of Rs 1.50 lakh crore, which includes Rs 50,000 crore in additional transmission charges," it added.
The APCC also claimed that while the Gujarat government secured solar power from Adani at a rate of Rs 1.99 per unit, Andhra Pradesh agreed to pay Rs 2.49 per unit--50 paise more per unit.
"With additional transmission charges, the actual cost rises to over Rs 5 per unit. This discrepancy indicates a deliberate overpayment, resulting in a heavy financial burden on the people of Andhra Pradesh for the next 25 years. The entire process of signing this agreement was rushed. Approvals were granted overnight without public consultation or thorough examination of Adani's agreements in other states. Even the Andhra Pradesh Electricity Regulatory Commission approved the deal without scrutinizing its financial implications. The Chief Minister's Office (CMO) took the lead in bypassing regular procedures to ensure this deal was finalized," it said.
"In addition to the power purchase agreement, the Congress Party raises serious concerns about the sale of the state's 10.45% equity stake in Gangavaram Port to the Adani Group in 2021 for a meager Rs 640 crores, while its actual value was around Rs 9,000 crores. This transaction indicates a significant undervaluation, raising suspicions of kickbacks," the party added. (ANI)