The Communist Party of India (Marxist) has demanded a judicial inquiry into the nearly ₹2,500 crore spent on Andhra Pradesh's agricultural smart meter project, and questioned the ₹764 crore termination compensation paid to Shirdi Sai Electricals.
- CPI(M) demands a judicial probe into the ₹2,500 crore smart meter project.
- Questions the ₹764 crore termination compensation.
- Calls for transparency in government spending.
At a press conference in Vijayawada, State Secretary V. Srinivasa Rao of the Communist Party of India (Marxist) raised serious concerns about the nearly ₹2,500 crore spent by the Andhra Pradesh government on the agricultural smart meter initiative and demanded a judicial inquiry into any illicit payments.
Rao pointed out that three power distribution companies together paid this enormous amount for meters, associated equipment, software, and other components. He also alleged that the previous YSR Congress government had paid around ₹1,800 crore to Shirdi Sai Electricals before the meters were installed, while the current coalition government paid ₹764 crore as compensation for terminating the contract.
Rao questioned the termination payment, stating it was made without the approval of the Andhra Pradesh Electricity Regulatory Commission (APERC) and without a public hearing. He demanded that all payments, the termination agreement, and the basis for the compensation be made public.
Despite strong opposition from farmer organisations, the project was put on hold. Rao highlighted that the financial burden would ultimately fall on consumers, noting that while similar meters cost ₹3,000-₹4,000 in other states, Andhra Pradesh spent over ₹34,000 per meter.
Why This Matters
CPI(M)'s demand signals a stern review of the state's fiscal practices, potentially setting a new benchmark for transparency and accountability.
A senior parliamentarian said, “This case highlights the lack of transparency in public fund usage.”
Did You Know?
| State | Cost per meter (₹) | Notes |
|---|---|---|
| Andhra Pradesh | 34,000 | High cost leading to farmer opposition |
| Other states | 3,000-4,000 | Standard cost for similar projects |
Frequently Asked Questions
Question 1: Is the smart meter project beneficial for farmers?
Answer: Technically, it can be beneficial, but cost and implementation issues exist.
Question 2: Why did the AP government halt the project?
Answer: Due to farmer opposition and cost inconsistencies.
