The Communist Party of India (Marxist) [CPI(M)] has urged the Andhra Pradesh Electricity Regulatory Commission (APERC) to reject the State government's proposal to establish the Andhra Pradesh Rural Agriculture Power Limited (APRAPL) as a separate power distribution entity for agriculture and rural consumers, alleging that the move would ultimately burden consumers and pave the way for privatisation of power distribution.

Addressing a press conference in Vijayawada on Sunday (June 21), CPI(M) State secretary V Srinivasa Rao and others described APRAPL as a "deemed DISCOM" existing only on paper and argued that it lacked the infrastructure, financial resources and operational capabilities required under the Electricity Act, 2003.

They alleged that the proposed arrangement was intended to strengthen the controversial power purchase agreement involving Adani Solar, Solar Energy Corporation of India (SECI) and Andhra Pradesh DISCOMs. It claimed that the agreement, signed during the previous YSR Congress Party government, would result in losses exceeding ₹1 lakh crore to the State over a 25-year period and demanded its cancellation.

According to CPI(M) leaders, electricity supply to agricultural pumpsets and lift irrigation schemes should continue through the existing three State DISCOMs without any change. They expressed concern that the creation of a separate agricultural DISCOM could eventually lead to the withdrawal of free power to farmers, increased burdens on urban consumers, reduction of cross-subsidies and greater concessions for large industrial consumers.

They alleged that the proposal formed part of a broader effort to facilitate the entry of private distribution companies into the power sector.

CPI(M) leaders questioned the viability of APRAPL, stating that the proposed entity neither possesses an independent power distribution network nor owns basic infrastructure such as transformers. It noted that even under the proposed arrangement, electricity supply operations and new agricultural service connections would continue to be handled by the existing DISCOMs.

Referring to APERC's public notice inviting objections and suggestions on the proposal by June 22, CPI(M) leaders appealed to consumers, farmers and the public to oppose the plan. The party also called for an expedited hearing of the case related to the Adani-SECI power agreement pending before the High Court.

CPI(M) leaders urged the State government to withdraw the proposal in the interests of farmers, rural consumers and the public power distribution system.