According to sources, power from around 720 MW of Private Power Projects in Andhra Pradesh may be sold to outside state due to absence of mandate policy for power sale inside the state.
It seems that the 520 MW Hinduja II and 200 MW Thermotec Power Projects have been allotted land in the state are now approaching other states for buying the power.
Moreover, both these projects have declared themselves as merchant power plants and have participated in bidding process for agreements both within the state as well as outside.
As merchant power plants are free to enter into multiple agreements, they are learnt to have entered into tie-ups with states like Tamil Nadu.
So far, the state has a total power generation capacity of roughly 3000 MW from private power projects however there is no mandate policy for any project to sell power to Andhra Pradesh only.
Due to this, in spite of having huge capacity of private projects, during the summers when the deficit was around 100 MU's per day, state received almost no power from these projects and purchased three times costlier power from the open markets.
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