Chief Minister YS Jagan Mohan Reddy alleged irregularities in the PPAs of Renewable Energy during Chandrababu Naidu’s regime and issued orders to revisit the agreements. The concerned Union Ministry already wrote to the Chief Secretary of Andhra Pradesh against such move as it will kill investors’ confidence and stop the investments in the country.
Even after that, the state government decided to move forward. Jagan constituted a committee to relook into the signed PPAs and negotiate with the companies. He even warned to cancel the agreements signed if they do not budge. Now, Minister of State for Power and New & Renewable Energy, RK Singh directly wrote a letter to the Chief Minister.
He once again ratified that there is no faulty in the PPAs signed and he should backtrack from the plans of renegotiating the PPAs. This will send wrong signals and the investment will dry up and the growth will come to a halt, the Minister warned in his letter to the Chief Minister.
It has to be seen if Jagan will reconsider this as taking a back step will help the Opposition to score a political point.