Y.S. Jagan Mohan Reddy rejects allegations of bribery in power purchase deal with Adani

In his first public remarks ever since the controversy broke out, the former Chief Minister says the deals were signed between State and Central governments, and there was no room for any third party in the agreements; “no incentives were offered to me by anyone nor can anyone dare to do so,” he says

YSR Congress Party (YSRCP) president Y.S. Jagan Mohan Reddy on Thursday rejected allegations that the Adani Group had paid bribes to government officials in order to seal a solar power purchase deal during his tenure as Chief Minister. “Incentives were never offered to me by anyone, nor can anyone dare to do so,” Mr. Jagan said at a press conference at the YSRCP office in Tadepalli.

Mr. Jagan said that his name was not mentioned in indictment documents filed in a US court. The bribery claims were hearsay, and there was no evidence suggesting he or anyone else had taken bribes, he said.

When asked about meetings with Gautam Adani, the former Chief Minister said, “Meetings between businessmen and government leaders are a standard practice. I met Mr. Adani several times before and after entering an agreement with the SECI. Such interactions are not unusual for heads of state.”

It may be recalled that the US Department of Justice has charged that the Adani Group bribed government officials in exchange for favourable solar power contracts.

In his first public response since the controversy emerged, Mr. Jagan sought to turn the tables, stating that the Union government should be appreciated for offering power at the cheapest rate to Andhra Pradesh and stand by the farmers and State. “The solar power purchase agreements were between State and Central governments. There was no room for any third party in the agreements. The agreements were signed by the Solar Energy Corporation of India (SECI), A.P. Discoms and the State government. The power sale agreement is historic. Also, the power purchase agreement for 7,000 MW, approved by the Andhra Pradesh Electricity Regulatory Commission in November 2021, was finalised between SECI and A.P. Discoms on December 1, 2021. In fact, the SECI might have written to other States as well, not just to A.P. They might not have responded. But, The YSRCP government responded to the offer given the advantages. What would you do if you were in my shoes?” he asked.

“The SECI offered to supply power at ₹2.49 per unit. Also, there is a waiver of the inter-State transmission system (ISTS). The government will save more than ₹1 lakh crore in the next 25 years in addition to the ISTS waiver of about ₹4,440 crore. In comparison, the Telugu Desam Party (TDP) during its tenure between 2014 and 2019 entered into wind and solar PPP agreements. While the wind PPP would drain resources to the tune of ₹50,000 crore, solar PPPs would be a burden of ₹37,500 crore in the next 25 years. In all, A.P. would have to pay ₹87,500 crore more given the power purchase tariffs agreed upon by the TDP government. The agreements made by the YSRCP government were a step towards wealth creation,” he added.

Published - November 28, 2024 09:22 pm IST