In Andhra Pradesh, a massive Rs. 11,000 crore power sector scam has exposed Chief Minister Chandrababu Naidu’s corrupt intentions, orchestrated through benami companies, while Y.S. Jagan Mohan Reddy’s visionary leadership continues to shine as a beacon of integrity and progress. Naidu’s coalition government, in power for just 11 months, has turned the state into a hub of scams, looting public money under the guise of governance. In stark contrast, YS Jagan’s tenure as Chief Minister (2019-2024) delivered affordable electricity and long-term savings, prioritizing farmers and the state’s future.
Chandrababu’s Scam: Looting through benami companies
Naidu’s latest scandal involves exorbitant power purchase agreements with Axis Energy Ventures, specifically Axis Renewable Energy Park Private Limited and its affiliates, which former MP Margani Bharat alleges are Naidu’s benami (proxy) companies. These newly formed firms, described as “mushrooming entities,” are selling 100 MW of wind and solar power at Rs. 4.60 per unit, India’s highest rate. Approved on May 2, 2025, with coerced consent from the Andhra Pradesh Electricity Regulatory Commission (APERC) under misused Section 108 of the Electricity Act, this deal will drain Rs. 440 crore annually and Rs. 11,000 crore over 25 years. A “ceiling” clause ensures the rate remains fixed, even if market prices for solar and wind power drop, guaranteeing profits for Naidu’s alleged cronies.
This agreement is a clear act of looting. Market rates for solar and wind hybrid power are as low as Rs. 2.90 per unit, and SECI’s recent deal with Reliance Industries secured power at Rs. 3 per unit. Yet, Naidu’s government pays Rs. 4.60, nearly double the market rate, forcing a Rs. 2.11 per unit excess cost. By citing rare peak demand periods (3-4 hours daily), Naidu justifies paying this inflated rate for all hours, a move branded as blatant corruption. The state’s treasury is being siphoned to enrich private firms, while citizens face doubled electricity bills and a Rs. 15,000 crore hike in power charges. This scam, labeled India’s largest power sector fraud, is just one of Naidu’s betrayals, alongside the Ursa land scam (Rs. 3,000 crore land sold for 99 paise/acre), sand and liquor mafias, and inflated Amaravati project estimates.
Naidu’s misuse of Section 108, meant for policy decisions, to force APERC’s approval after their rejection reveals his desperation for illicit gains. His yellow media allies spread lies to cover this theft, falsely defending the Rs. 4.60 rate while ignoring cheaper alternatives. Naidu’s history of power sector mismanagement (2014-2019) worsens the narrative: he bought power at up to Rs. 7 per unit, burdening the state with Rs. 87,500 crore over 25 years and driving DISCOM debts from Rs. 29,551 crore to Rs. 86,215 crore. His regime’s corruption, negligence (e.g., Simhachalam’s 7 deaths, Tirupati’s 6 deaths), and broken promises of lower tariffs expose a leader plundering Andhra Pradesh for personal gain.
Y.S. Jagan’s vision: A legacy of integrity and savings
Y.S. Jagan Mohan Reddy, in contrast, emerges as a visionary who transformed Andhra Pradesh’s power sector for its people, particularly farmers. His landmark achievement was securing 7,000 MW of solar power at Rs. 2.49 per unit through a transparent deal with the Solar Energy Corporation of India (SECI). This rate, Rs. 2.64 below the 2022-23 average procurement cost of Rs. 5.13 per unit, saved approximately Rs. 6,000 crore annually for 2.3 billion units, totaling Rs. 1,10,000 crore over 25 years. Additional savings came from SECI’s exemption of Interstate Transmission System (ISTS) charges, locking in a low rate that shielded the state from global price hikes (up to Rs. 2.80 per unit).
YS Jagan’s SECI deal ensured 9 hours of free, high-quality daytime electricity for farmers for nearly 30 years, stabilizing agricultural power without fluctuations. This farmer-centric vision reduced subsidy costs and empowered rural communities. Between 2019-2024, Jagan’s government allocated Rs. 47,800.92 crore to DISCOMs, compared to Naidu’s meager Rs. 13,255.76 crore (2014-2019). Jagan cleared Rs. 8,845 crore in free power dues left by Naidu, sanctioned 2 lakh agricultural transformers, 5 lakh pump sets, and ensured 6,663 feeders delivered reliable power with Rs. 1,700 crore in investments.
Despite these achievements, Naidu, in opposition, falsely labeled YS Jagan’s SECI deal a scam, alleging corruption when market rates were Rs. 1.99 per unit. He and his yellow media spread conspiracies, claiming Jagan’s deal cost Rs. 1.10 lakh crore and involved midnight signings. APERC, even under Naidu’s government, confirmed the deal’s legitimacy, debunking these lies. Jagan’s transparency and commitment to Andhra Pradesh’s future stand unshaken, while Naidu’s Rs. 4.60 per unit deal exposes his hypocrisy. When challenged to justify this rate—especially against SECI’s Rs. 3 per unit Reliance deal—Naidu and his media allies have no answers.
The Contrast: Vision vs. Corruption
Jagan’s leadership was a masterclass in public welfare, securing affordable power, reviving the power sector, and saving billions for Andhra Pradesh. His SECI deal, praised by the Union Power Ministry, was a strategic move to ensure long-term prosperity. Naidu’s regime, however, thrives on scams, from Axis Energy’s Rs. 11,000 crore loot to land grabs and mafias. His government’s actions—doubling power bills, neglecting sacred sites like Tirumala, and causing preventable tragedies—reveal a leader driven by greed, not governance.
Andhra Pradesh deserves better. Jagan’s vision lit the path to a prosperous, farmer-empowered state. Naidu’s corruption plunges it into darkness. The people, burdened by his scams, demand accountability. As Margani Bharat vowed, YSRCP will fight in the people’s court, exposing Naidu’s benami empire and restoring the state’s dignity.
