Union minister urges Telangana to work with NTPC to fulfil power demand

UNion authorities minister for coal and mines G Kishan Reddy on mon asked the Telangana government to come in into a force purchase agreement (PPA) with National Thermal Power Corporation (NTPC) in the wake of rapidly increasing power demand in the state, which crossed 18,000 MW mark last week.In a letter addressed to chief minister A Revanth Reddy, Kishan Reddy said the second phase of 3×800 MW thermal power plant of NTPC, coming up at Ramagundam in Peddapalli district would help meet Telangana’s growing electricity demand while ensuring supply of quality power at a lower cost.Telangana recorded peak electricity demand of 18,139 MW, registered at 11.01 am on March 3, which was the highest peak demand ever recorded in the history of Telangana, state deputy chief minister Mallu Bhatti Vikramarka, who holds the portfolio of energy, said in a statement.Vikramarka said Telangana was emerging as a state with high electricity consumption density due to rapid expansion in IT, pharmaceuticals, manufacturing, and irrigation sectors. Earlier, the state had recorded a peak demand of 15,623 MW on March 8, 2024 and 17,162 MW on March 20, 2025.“Telangana is not only meeting current demand but is also fully prepared for upcoming summer peak requirements with advance planning. A robust grid system, forward-looking strategy, and coordinated operations are our strengths,” the deputy chief minister said.Referring to Vikramarka’s statement, Kishan Reddy said in his letter that the electricity demand was expected to rise further in the coming years. He said the deputy chief minister himself had acknowledged the need to add 5,000 – 6,000 MW of thermal power generation capacity to maintain grid stability in line with national energy goals. “The demand could reach nearly one lakh MW by 2047,” the Union minister pointed out.He recalled that as part of the first phase of the planned 4,000-MW thermal power project at NTPC, Ramagundam, had already established two thermal power units with a combined capacity of 2×800 MW (1,600 MW) at a cost of about ₹12,000 crore using advanced ultra-supercritical technology. The project was dedicated to the nation in 2023 by Prime Minister Narendra Modi, he said.Following the completion of phase-I, NTPC has initiated steps to implement phase-II, which proposes three additional units of 800 MW each, adding 2,400 MW of generation capacity. As in the first phase, 85% of the power generated from phase-II will be supplied exclusively to Telangana, he said.He requested the chief minister to facilitate a PPA between the Telangana government and NTPC for the 3×800 MW Phase-II project at Ramagundam.Kishan Reddy said the NTPC has extensive national experience in establishing thermal power projects at low cost using advanced ultra-supercritical technology. “If NTPC is given adequate flexibility to secure coal supplies for the full 5×800 MW project, the company is ready to produce electricity at competitive tariffs and meet Telangana’s power needs,” he said.He said such a move would benefit both the state government and consumers while strengthening Telangana’s power supply in the long term.