Influential Leaders Behind ₹5,000 Crore Power Project Tender?
Extension after extension. The entire process was allegedly dragged on until the preferred company secured the tender. Now, a decision has reportedly been taken to finalize it. This is the story of the alleged irregularities surrounding a pumped storage project tender worth nearly ₹5,000 crore in Andhra Pradesh’s power sector. According to allegations, the project cost was increased by as much as 20 percent at the estimation stage itself to benefit the company that would eventually secure the contract. Initially, a major company had reportedly laid the groundwork to bag the project. However, in a surprising turn of events, a key minister—who frequently speaks about ethics and integrity—allegedly intervened and directed that the contract should go only to a company backed by his camp. A middleman allegedly representing the minister also entered the picture and coordinated the entire process through a company linked to his close associates. The issue has now reportedly reached its final stage.
Sources within the department allege that large-scale irregularities took place in the tender process for the pumped storage project planned by AP Genco at Kamalampadu in Yadiki mandal of Anantapur district. They claim that influential figures in the Andhra Pradesh coalition government played a key role in steering the entire process. Reliable sources further state that a team associated with the Power Minister was also actively involved. Department officials say the tender deadline for the project was extended six times. They now reveal that the project, valued at nearly ₹5,000 crore, is set to be awarded to AMR.
Interestingly, the company was reportedly not even in contention initially. However, reliable sources claim that a key minister who had taken a special interest in the project brought the company into the race. An official announcement regarding the tender allocation is expected within the next couple of days. According to power department sources, when the matter was brought to the attention of a minister known in government circles as the “all-in-one minister,” he reportedly remarked, “Haven’t we already given them mining contracts? Do they need a power project too?” However, after learning who was backing the move, the minister is said to have remained silent.
As this is a project being undertaken by the state-owned AP Genco, officials should ideally ensure that the contract is awarded quickly and the project completed at the earliest. Instead, some senior officials are facing allegations that they extended their support to ensure the contract went to their preferred company. There is also growing discussion within the department that certain officials occupying key positions in the power sector appear to be working not for the state’s interests, but for specific companies and contractors.
