Hyderabad: Union Minister G. Kishan Reddy said the Telangana power sector was in a serious financial crisis due to heavy accumulated debts. While speaking to the media on Thursday, he said power utilities were struggling to sustain operations under growing liabilities.
According to Kishan Reddy, power generation and distribution companies had slipped deep into losses. As a result, these utilities were carrying debts worth thousands of crores and faced uncertainty over survival. He added that the Centre was ready to extend full cooperation to Telangana to boost power generation.
Referring to official disclosures, the Union Minister said the state government’s white paper acknowledged power sector dues exceeding ₹30,000 crore. In addition, he alleged that the Telangana government owed Singareni Collieries Company ₹47,000 crore, further worsening the crisis.
Telangana power sector needs focus on generation, says minister
Raising concerns over supply stability, Kishan Reddy said electricity demand in Telangana was rising steadily. At the same time, he noted that the debt burden of power utilities continued to increase. Even brief spells of rain or strong winds, he said, disrupted power supply in Hyderabad and other regions.
He warned that industries would not invest in the state without reliable electricity. Therefore, he urged the government to focus on power generation rather than setting up new discoms. Criticising the handling of old dues, he said several projects remained stalled due to lack of funds.
Highlighting long-term priorities, the Union Minister said electricity was vital for Telangana’s ambition to become a global hub. Power, he added, had become a basic necessity for both human life and system stability. Globally, he said, electricity demand was rising, with 74 per cent still generated through thermal sources.
Turning to the national context, Kishan Reddy recalled frequent power cuts in Andhra Pradesh and Telangana in the past. Before Narendra Modi became Prime Minister, he said, protests over electricity shortages were common. Today, he added, the country ensured round-the-clock power supply through the One Nation–One Grid system.
He further said the Centre had provided new technology to strengthen Telangana’s power cable network. Separately, he noted that the Centre had decided to generate 4,000 megawatts of power under NTPC. Singareni, he said, was in such financial distress that it could not even release DMF funds.