July rains to boost agri, power sectors

Filled to the brim reservoirs to 'empower' govt

July rains are going to have a great impact on the Andhra Pradesh economy with agriculture and power sectors being the major beneficiaries from the nature's magnanimity.

While the additional direct benefit on account of the expected increase in hydel generation component in the hydro-thermal mix alone is calculated at around Rs 1,000 crore, the power distribution companies (Discoms) are going to have the added benefit with regard to meeting the peak load requirements up to the next rabi season.

With the state suddenly finding itself in a surplus situation due to heavy addition of hydel generation, APTransco is looking for customers outside the state to sell bulk power round-the-clock.

As per the assessment of Agriculture Commissionerate, agriculture production is sure to surpass its projections.

Says Poonam Malakondaiah, commissioner of agriculture, "In anticipation of good monsoons, we had worked out the agriculture action plan for the enhanced area of 82 lakh hectares this time as compared to the normal crop area of 78 lakh hectares in the kharif season. But the actual crop area may surpass these projections as well."

With the government's special efforts on increasing productivity levels of various crops through better extension, fertiliser and pest management, the overall agriculture production may be even higher, she said.

Rice production during kharif-2005 is projected at 68.97 lakh tonnes with a coverage of 21.5 lakh hectares.

The action plan projection of major crops during the present kharif season including maize (17.62 lakh tonnes), ground nut (15.58 lakh tonnes), pulses (5.97 lakh tonnes) and cotton (23.03 lakh bales) is expected to be surpassed due to increased inflows into reservoirs and increase in groundwater table supplemented by higher yield levels.

Two spells of continuous rains in the last month has seen all the water bodies, major, medium and minor irrigation sources receiving water alike after a long gap with four out of the last five years being drought-hit. Last time, the state witnessed the best rains comparable to July rainfall was way back in 1996-97.

As far as cultivation under assured irrigation goes, over 8-9 lakh acres under minor irrigation sources, 4 lakh acres under medium irrigation sources and 45-48 lakh acres under major irrigation projects used to be covered for the past few years in the state.

Besides, a good 50-60 lakh acres of land is covered under open wells and borewells. Last month's rains are expected to increase the cultivation under all these systems.

"As the irrigation tanks and reservoirs are still receiving water and our studies on total amount of inflows and on the amount of groundwater recharge are yet to be completed, it will take some more time to assess the accurate impact of recent rains," S P Tucker, principal secretary, irrigation, told Business Standard.

According to him, cultivation under minor irrigation could also go up to 12-13 lakh acres due to recent rains. The department has incurred Rs 30 crore expenditure on account of damages to minor irrigation bodies due to heavy rains as well.

The water level in Srisailam touched 873.30 feet on Wednesday morning as compared to the full reservoir level (FRL) of 885 feet with inflows touching 5.37 lakh cusecs. About 4.9 lakh cusecs is being released from Srisailam into the Nagarjunasagar which is located in the downstream.

With heavy inflows, Nagarjunasagar touched 525 ft as compared to the FRL of 590 ft. Sriram Sagar (SRSP), the major reservoir with a gross capacity of 90.3 tmc on Godavari river is already filled to the brim with water levels touching the FRL of 1091 ft.

Discharges from reservoirs into canals in Godavari Delta and Krishna Delta are 14,200 cusecs and 10,963 cusecs respectively.

Rains are also going to lessen the power subsidy burden on the state government with no tariff hike expected to be effected next year due to the decrease in bulk power cost.

According to APGenco officials, the per unit cost is expected to come down from the present average cost of Rs 1.74 to between Rs 1.40 and Rs 1.50 due to the expected increase in hydel power generation.

"Even if we generate 7,000 mu, we will save around 15 paise on each unit," an APGenco official observed. With the availability of hydel power, APGenco has backed down its thermal power units to the extent of 2,000 mega watts.

As against the APerc's projection of 6,000 mu of hydel generation in the current financial year (hydel generation in 2004-05 was 4,000 mu), APGenco is now expected to surpass the 10-year average of 9,000 mu generation this year.

Srisailam and Nagarjunasagar, the two major dams on Krishna river in the state alone account for more than 2,600 mega watt installed capacity in hydro power generation. Water in both the reservoirs is expected to reach FRL in a couple of days.

"We can give sufficient power to agriculture sector for the two seasons along with meeting the peak load requirement fully," G Keshava Rao, director of APTransco, said basing on the stepped up availability of hydel power.

Transco is planning to meet the peak load requirement, that is expected to touch 8,000 mw during the next rabi season through hydel generation to avoid costs. Discoms had drawn power in peak hours even at the rate of Rs 4.70 per unit during last summer.

The situation is still grim in Sileru sub-basin as the rains are yet to catch up in the Orissa state. About 800 mu of power would be available to Andhra Pradesh if the hydel units at upper and lower Sileru, Donkarai, Machkund and other places are fully run, officials said.

Despite free power to farm sector, the subsidy given to power sector by the Andhra Pradesh government is expected to come down next year.