GENCO for Telangana

Creation of GENCO for Telangana in accordance with provisions of AP reorganization Act,

2014- Guidelines issued.

ENERGY (CC) DEPARTMENT

GO Ms No. 25 Dated :29-05-2014

In pursuance of the section 53 of the AP Reorganisation Act 2014, separate GENCO has

been created for Telangana State and existing AP GENCO will continue for residuary AP State.

Accordingly, Functions, Assets & Liabilities, Posts and Staff is to be transferred to the newly

created Telangana GENCO. In order to implement the provisions of the said Act, the following

guidelines are issued:

1. Effective Date for Transfer of Functions, Assets, Liabilities, Posts and Staff:

Effective date shall be the date on which date TG GENCO comes in to operation.

2. Transfer of functions to TG GENCO: From the effective date all the functions

presently being carried out by APGENCO in the area of Telangana State shall stand

transferred to TG GENCO.

3. Transfer of Power Plants to TG GENCO: As per clause C1 of Twelfth Schedule read

with Section 92 of Reorganization Act 2014, all the Plants (Thermal, Hydel and Solar)

located in Telangana Region shall be transferred to Telangana GENCO on as is where is

basis as listed in Annexure-A.

4. Allocation of sanctioned posts to various Projects has to be allocated on “as-iswhere-

is” basis.

5. The sanctioned Technical posts at Headquarters among Thermal and Hydel shall be

divided as per original sanction of posts in APGENCO.

6. Transfer of posts to TG GENCO: All sanctioned posts for Telangana Region Projects

located in Telangana State shall stand transferred to TG GENCO with effect from

Effective date. Posts at AP GENCO Head Quarter shall be divided between two

GENCOs based on the principles described as follows:

a. Allocation of sanctioned technical posts at Head Quarters: A ratio will be

worked out by dividing the existing thermal capacity of Andhra region including

the projects under construction by the total installed thermal capacity of the State

and projects under construction. A ratio will be worked out by dividing the

existing thermal capacity of Telangana region including the projects under

construction by the total installed thermal capacity of the State and projects under

construction. Similarly, a ratio will be worked out by dividing the existing Hydel

capacity of Andhra Region including Projects under Construction by the total

installed Hydel capacity of the State and Projects under Construction. A ratio will

be worked out by dividing the existing Hydel capacity of Telangana Region

including the Projects under Construction by the total installed Hydel capacity of

the State and Projects under Construction.

b. Allocation of sanctioned Common Services Posts at Head Quarters

i. A ratio for allotment of common services staff for

ANDHRA/TELANGANA, will be worked out by dividing the

“Sanctioned Strength in the Region” with the “Total Sanctioned Strength

of APGENCO excluding Head Quarters”.

ii. Based on this principle, head quarter posts transferred to both GENCOs

are listed in Annexure-B

7. Transfer of employees between two GENCOs: The guidelines meant for Government

employees shall be followed for permanent transfer of employees between two GENCOs.

Pending such transfer of employees, all staff working at various Plants/Locations and

Training Institute at Dr.NTTPS as on effective date shall continue to work there and draw

their salaries accordingly. Staff working at Head Quarter, to the extent of posts in TG

GENCO, shall be permanently transferred to TG GENCO as on effective date duly

following the Government guidelines issued for allotment of staff.

8. Upon such transfer/allocation of personnel shall hold office or service under the

transferee company on terms & conditions that may be determined in accordance with the

transfer scheme. Provided that such terms & conditions on the transfer shall not in any

way be less favourable than those which would have been applicable to them if they had

been no such vesting.

9. Training Centre at Dr.NTTPS, Vijayawada: TI/Dr.NTTPS along with posts shall stand

transferred to APGENCO. However TI/Dr.NTTPS shall continue to provide services to

TG GENCO on cost basis as per request made by TG GENCO.

10. SRISAILAM: Srisailam Chief Engineer’s office is presently located at Srisailam Left

Bank Hydro Electric Station, where as Chief Engineer’s post and his office staff are on

the strength of Srisailam Right Bank Hydro Electric Station. It is proposed to shift the

Chief Engineer’s office to Right Bank.

Three (3) Nos. suites in Krishnaveni Guest House and 12 rooms in Project Hostel of

SLBHES are to be allotted for the use of SRBHES for a maximum period of 5 years and

necessary rental charges as per G.O.Ms.No.63, dated18.4.2011 shall be paid by

SRBHES.

11. NSHES COMPLEX: The Chief Engineer/NSHES Complex Head Quarters shall be

shifted to Srisailam. The following Power Houses will be under the control of Chief

Engineer/ O&M/NSHES.

a. SSLM Left Bank Power House.

b. Nagarjuna Sagar Power House.

c. Nagarjuna Sagar Left Canal Power House.

d. Pulichintala Hydro Electric Scheme(O&M)

e. Priyadarshini Jurala Hydro Electric Scheme.

f. Lower Jurala Hydro Electric Scheme (O&M)

g. All the Power Houses under the control of SE/MHS/ Pochampad except PABR.

h. AMRPLIS/Puttamgandi.

i. Solar Power Plant (1.0 MW) at PJHES.

Six (6) rooms in the 24 room project Hostel (Vidyut Sadan) will be allotted for the use of

NSRCPH for a maximum period of five (5) years on rental basis. Rental charges to be paid

as per G.O.Ms. No.63, dated 18.4.2011.

12. Nagarjunasagar Tail Pond Dam and Power House (2x25 MW): Power house, staff

colony, stores, office buildings and guest houses are situated in Guntur District and hence

comes under residual Andhra Pradesh. Dam is across the river connecting the banks of

both states i.e., left bank Telangana and right bank Andhra Pradesh. The project is under

construction. About 90% of the work is completed so far and is likely to be completed by

31.12.2014.

13. The dam is purely for pumped storage operation and power generation at NS Tail Pond

Dam Power House.

14. As there is no irrigation component, no day-to-day operations are involved. Hence the

operation and maintenance of the dam shall be under the control of NS Tail Pond Dam

Power House for better coordination. However, as the cost of the dam is chargeable to

NSPH necessary O&M charges of the same shall be reimbursed by NSPH to NSTPD.

15. MACHKUND POWER HOUSE

Machkund Power House with an installed capacity of 120 MW is a joint project with

Orissa and Andhra Pradesh with 30%:70% shares respectively. The Power house is

situated in Orissa State. The assets of A.P. Government in this project will be transferred

to the Government of residual Andhra Pradesh. However, power of AP share shall be

shared between AP & TG States as per AP Re-organisation Act, 2014.

16. A.P.POWER HOUSE BALIMELA 2x30 MW.

The Power House is situated in Orissa. The project construction is held up since 1992

and is proposed to be executed jointly with Government of Orissa on 50:50 basis. This

project stands transferred to the residual State of Andhra Pradesh. However, power of AP

share shall be shared between AP & TG States as per AP Re-organisation Act, 2014.

17. TB DAM POWER HOUSE COMPLEX

TB Dam Power House Complex consisting of Dam Power House (4x9 MW) and Hampi

Power House (4x9 MW) is a joint project between Government of Karnataka and Govt.

of Andhra Pradesh with 20%:80% shares respectively. The assets of this project may be

transferred to Govt. of residual Andhra Pradesh. However, power of AP share shall be

shared between AP & TG States as per AP Re-organisation Act, 2014.

18. General Assets/Liabilities: Special tools and equipments, material handling equipments,

earth movers, bulldozers, concrete mixtures, cranes, trailers, heavy and light vehicles,

furniture, fixtures, office equipments, air conditioners, refrigerators, computers and signal

systems, spares, consumables, raw materials, lands and civil works installations including

roads, buildings, schools, dispensaries, testing laboratories and equipments, training

centers, workshops, works in progress, machineries and equipments set for repairs, scraps

and obsolete shall be shared on ‘as-is-where-is’ basis except at head quarters. At head

quarters movable assets shall be divided as per the government guidelines.

19. APPDCL

The Equity of APGENCO and Government of Andhra Pradesh shall be retained by

Andhra Pradesh (Residual). 17.45% of APCPDCL share of equity will be transferred to

APSPDCL in accordance with GO Ms NO 20 of Energy Department dated 08-05-2014

due to transfer of 2 Districts of Ananthapur and Kurnool to APSPDCL . The plant is

located in the District of Sri Potti Sri Ramulu Nellore and it is in the geographical area of

the residual state of Andhra Pradesh and hence, as per the Andhra Pradesh Reorganisation

Act, 2014 the Assets and Liabilities of SDSTPS will be retained by Andhra

Pradesh (Residual). The remaining assets and liabilities of APPDCL Head Quarters will

be distributed among Andhra Pradesh and Telangana in the population ratio.

Man Power of APPDCL: Sanctioned posts of SDSTPS will go to Andhra Pradesh

(Residual) as these posts are exclusively sanctioned for SDSTPS. There are no posts

sanctioned at head quarters either for SDSTPS or head quarter of APPDCL.

Disinvestments by certain DISCOMs: In case of any disinvestment of APPDCL equity

by CPDCL and NPDCL the first right of refusal should be given to the residual state of

Andhra Pradesh or its nominees/assignees.

Management of APPDCL: The management of APPDCL will be in the hands of the

residual State of Andhra Pradesh in view of its share holding (residual State of Andhra

Pradesh and its concerns). The two distribution companies i.e., CPDCL and NPDCL may

nominate its nominees as Directors on the Board of APPDCL as long as the above two

companies continues as share holders by having more than 10% equity.

20. ALLOTMENT OF COAL BLOCKS- It has been done after taking into account end

use projects.

Sl.No Name of coal block Mineable Reserves End Use Projects Reserves for

                                                                             State of Andhra Pradesh  State of Telangana

1Suliyari Belwar 150 1X800 MW Unit at Dr.NTTPS,1X800 MWunit atKTPS.

                                                                                                       75                             75

2Tadicherla-        I45 1X600 MW unit at Kakatiya Thermal Power Project

                                                                                                       Nil                            45

3 SARPALNAUPARA 280 1X800 MW unit at Srikakulam and 1X800 MW unit at Kakatiya

                                              Thermal Power Project, Stage-III   140                         140

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              Total             475                                                            215                         260

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Nuagon Telishhi: Mineable Reserves are 450 million tonnes and end use projects are

identified as 3x800 MW Units at Srikakulam and 5x800 MW Units at Vodarevu at the

time of allocation. The said units are not yet grounded and hence, the mineable reserves

may be allocated to both the States as per the ratio 58.32:41.68 to APGENCO & TG

GENCO to both the States and necessary request may be made to the Ministry of Coal,

Government of India for change of end use projects by the successor entities.

The office space at head quarters between APGENCO & Telangana GENCO shall be

shared in the ratio of 58.32:41.68.

21. IT Infrastructure and ERP Software: IT infrastructure, System software, General

software and ERP software at Head Quarter will be used jointly by both GENCOs till

both GENCOs create their own IT Infrastructure and software. Operation and

maintenance cost of such common infrastructure shall be shared by both GENCOs on

installed capacity of power stations in both the Regions. For the purpose of operational

convenience, Operation and Maintenance will be handled by AP GENCO as all the

licenses for System Software and ERP etc are in the name of APGENCO. On creation of

separate IT infrastructure by both GENCOs, IT hardware shall be divided between two

GENCOs based on installed capacity of power stations in the both the Regions. All

software which are licensed in the name of APGENCO will be retained by APGENCO as

same cannot be transferred to TG GENCO.

22. Contracts under progress: As per section 60(1) (a) of the Act, All the contracts which

cover works exclusively for Telangana Region Plants, shall get transferred to TG

GENCO along with corresponding liability. Contracts which cover works spread over

both the states (for example suplly of coal, oil, and any other centralised items), shall be

executed by APGENCO and allocated based on the installed capacity to both the Region

Plants/successors entities till the contract are completed or foreclosed.

23. Rights and obligations of third parties restricted: Upon the transfer being effected in

accordance with the provisions of the Act and these rules, the rights and obligations of all

persons shall be restricted to the Transferee to whom they are assigned to and

notwithstanding anything to the contrary contained in any deed, documents, instruments,

agreements or arrangements which such person has with the Board, he shall not claim

any right or interest against the transferor company or any other transferee company.

24. Pending suits, Proceedings etc.: All Proceedings of whatever nature by or against the

company pending on the date of these rules shall not abate or discontinue or otherwise in

anyway prejudicial be affected by reason of the transfer scheme mentioned in the Act and

in these rules but the Proceedings may be continued, prosecuted and enforced by or

against the Government or after the transfer of the Undertakings, by or against the

notified transferee to whom the same are assigned in accordance with the transfer scheme

only and nobody else. Such Proceedings may be continued in the same manner and to the

same extent as it would or might have been continued, prosecuted and enforced by or

against the Board if the transfers specified in these rules had not been made.

25. Balance Sheet of TG GENCO and APGENCO: APGENCO assets and liabilities shall

be transferred to TG GENCO & APGENCO as per format given in Annexure-C.

26. Any other issue: Any issue not covered above shall be decided by both GENCOs in

accordance with the principles laid down in the Reorganization Act 2014.

02 MD, APGENCO shall take further necessary action for transfer of functions, assets,

liabilities posts and employees to TG GENCO accordingly.

(BY ORDER AND IN THE NAME OF THE GOVERNOR OF ANDHRA PRADESH)

DR. S.K. JOSHI, IAS.,

SPECIAL CHIEF SECRETARY TO GOVERNMENT (FAC)