Congress responsible for Telangana losing 49 percent stake in Singareni mines: CM KCR

Congress governments of erstwhile Andhra Pradesh could not repay the loans obtained from the Centre due to their inefficiency and ended up giving away shares in SCCL, which was part of Telangana's legacy, said CM KCR

Hyderabad: In a scathing critique, BRS president and Chief Minister K Chandrashekhar Rao blamed the Congress for the State losing out a 49 percent stake in the Singareni Collieries Company Limited to the Central government. He said the Congress governments of erstwhile Andhra Pradesh could not repay the loans obtained from the Centre due to their inefficiency and ended up giving away shares in SCCL, which was part of Telangana’s legacy.

Speaking at the Praja Ashirvada Sabha public meeting at Kothagudem on Sunday, Chandrashekhar Rao reminded that Singareni, founded by the Nizams of Hyderabad, had a rich history of 134 years and its coal mines were intertwined with the lives of the people of Telangana.

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“Singareni was entirely owned by the people of Telangana until the incompetent Congress government borrowed funds from the Central government and failed to repay the loans over a span of 30-40 years. This led to the Central government acquiring a 49 percent stake in Singareni, depriving the State of its complete control over the mines,” he said.

However, after the Telangana State was formed and the BRS came to power, the fate of Singareni changed dramatically. Despite lack of support from the Centre, the State government granted a three percent increment to Singareni workers after the State formation. Under the Congress rule, the company’s turnover was a mere Rs 11,000 crore, but it soared to Rs 33,000 crore during the BRS tenure within a span of nine years.

“Singareni’s profits also saw a remarkable transformation, from a meagre Rs.419 crore to a massive Rs.2,184 crore. The increased profits were distributed to Singareni workers as bonus during the Dasara festival, now standing at Rs.700 crore from just Rs.60-70 crore during the Congress regime,” Chandrashekhar Rao said.

Besides creating 19,463 new jobs in SCCL over the last nine and a half years, the BRS government provided 15,256 jobs to dependants. Further, the compensation amount has been enhanced from Rs.1 lakh to Rs 10 lakh in the event of a worker’s death. If the dependants refrained from seeking employment, the government provides a higher amount of Rs 25 lakh.

The BRS president said the State government was also supporting the well-being of the Singareni employees by providing interest-free housing loans of upto Rs 10 lakh. Further, the government also issued pattas to around 22,000 families residing on lands belonging to Singareni.