Chandrababu Naidu-led govt 'considering 3 options' to put Adani-linked PPAs on hold
Adani Green Energy following the US indictment for alleged bribery to win contracts.
According to highly-placed state government sources, Andhra Pradesh is considering writing to Solar Energy Corporation of India (SECI) to cancel the power purchase agreement (PPA) signed with Adani Green Energy and recommend a probe by a central investigative agency. Other options being considered include formation of a Cabinet sub-committee to examine the charges of bribery and keep the power supply agreement (PSA) signed with SECI in abeyance. The third option is to completely scrap the PSA. Sources said that the state government is veering towards the option of writing to the SECI and ask it to scrap the PPA.
The PPA under scrutiny involves the Andhra Pradesh government's procurement of 7,000 megawatts (MW) of solar power through SECI. US authorities have charged Gautam Adani and seven others with agreeing to pay bribes of $265 million to unnamed state government officials to obtain solar power-supply contracts in Odisha, Tamil Nadu, Chhattisgarh, Andhra Pradesh and the Union Territory of J&K, between 2021 and 2022.
The two companies at the centre of the bribery scandal are Adani Green and Azure Power, who got the letter of award in June 2020. They signed a PPA with SECI. However, SECI could not find discoms to buy power from the two companies as the prices were too high. US authorities have charged that following this, bribes were paid to unnamed state officials and the state discoms agreed to purchase power and signed PSA
