Andhra FM On Adani Deal: We Have To Consider The Legal And Financial Consequences

Andhra Pradesh government is unlikely to rush into scrapping or suspending the power purchase agreements linked to Adani Group entities, according to Finance Minister Payyavula Keshav. He stated that the NDA government has not yet decided on the cancellation of the power contracts with Adani from the past. Minister Keshav further explained that Chief Minister Chandrababu Naidu had already made a clear statement in the Assembly regarding the power contracts. He emphasized that the matter is being carefully studied from all angles, including legal and financial aspects, and a decision will be made only after thorough analysis. He also noted that he had previously gone to court over power contracts, which is why he is cautious about commenting further at this stage. The Andhra Pradesh government is examining all aspects of this issue and will take appropriate action accordingly. In December 2021, the state signed power purchase agreements with the public sector Solar Energy Corp. of India Ltd. to buy up to 7,000 megawatts of solar energy over 25 years, phased over time. As per the agreement, Solar Energy Corp. was to procure solar power from Adani Group companies.