Giving thrust to Andhra Pradesh’s power sector, World Bank has now agreed to provide Rs 2,400 crore financial aid to the new state of AP in order to take up reforms in the sector. Aside this, Japan International Cooperation Agency (JICA) had also sanctioned Rs 295 crore for the implementation of High Voltage Distribution System (HVDS) project to reduce distribution losses and provide quality power supply to the agriculture sector in state.
AP state government has effectively brought down T&D losses to 10.54 % by August this year against the 17.05 % recorded in 2010-11. Due to this, the state was able to save around Rs 1,950 crore by adopting power saving reforms during the last 18 months.
The Energy Department of the state is now targeting to further reduce T&D losses between 5-6% on par with international standards by 2016-17. AP government is also planning to invest Rs 27,000 crore in the power sector in the coming years to ensure quality power supply to its consumers.