Rao moots changes in policy of allocating coal for power

Telangana Chief Minister K Chandrasekhar Rao Saturday has demanded that the Centre reduce cost of power production by bringing in changes in the way coal allocations are made for production of power.

He said he would take up the issue with the government to be formed at the Centre soon (post Lok Sabha elections), a release from his office said late Saturday night.

Rao, who visited the power plant being built by NTPC at Ramagundam in the state, held a meeting with officials.

He requested that 2,000 MW be supplied from NTPC to Telangana in view of the growing power demand in the state.

"The policy being followed by the Centre with regard to allocation of coal to power plants is not proper.

Coal for Ramagundam NTPC plant is being used by bringing it from Mandakini in Odisha, 950 km away, instead of taking coal from nearby Singareni (state-run miner Singareni Collieries).

This leads to increase in cost of production," Rao said.

The release also said production at the Fertilisers Corporation at Ramagundam would start this year.