The Ministry of Power has directed the Telangana government, represented by its power distribution companies, to pay ₹6,756.92 crore to Andhra Pradesh for supply of power post-bifurcation of erstwhile Andhra Pradesh from June 2, 2014, to June 10, 2017.
The direction was given on representation by Andhra Pradesh that Telangana had not cleared the dues, which included principal of ₹3,441.78 crore and late payment surcharge of ₹3,315.14 crore (up to July 31, 2022). There was no dispute regarding the amount to be paid towards dues, the order of the Ministry said.
The payment was ordered to be made within 30 days from August 29. The payment of dues by Telangana Discoms was a bone of contention between the two States since the Bifurcation.
The supply of power to Telangana was agreed by Andhra Pradesh State Load Despatch Centre at a meeting in March 2014 as per provisions of Andhra Pradesh Reorganisation Act. In accordance with the decision taken, the AP Generation Corporation supplied power to Telangana Discoms.
The order observed that every right of one party entailed a corresponding duty, right and duty were cojoined and, as such, Telangana must pay the power dues to AP for supply of electricity under orders of Government of India issued under the Reorganisation Act.
