KTR alleges Rs 3,000-crore coal import scam, seeks white paper on power crisis

BRS working president KT Rama Rao alleged that Telangana’s power crisis was being used to facilitate expensive coal imports through a proposed deal with Bothra Logistics. He demanded a white paper and an independent probe, while questioning Singareni’s falling production and nearly Rs 60,000 crore in reported outstanding dues.

Hyderabad: Putting the Congress government in the dock, BRS working president KT Rama Rao described the ongoing power crisis in Telangana as a deliberate attempt to create an artificial coal shortage and facilitate foreign coal imports at inflated prices. He accused Chief Minister A Revanth Reddy and the Congress government of being involved in an alleged Rs 3,000-crore scam by signing a prior agreement with a logistics company.

He demanded a white paper on the proposed imports and an independent investigation into the entire affair. He warned that the BRS would oppose any move that weakened Singareni or burdened the State with expensive imports, and demanded that the government publish a comprehensive report on the coal and power crisis.

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In an open letter addressed to Revanth Reddy, Deputy Chief Minister Mallu Bhatti Vikramarka and Union Coal Minister G Kishan Reddy, Rama Rao questioned the rationale for turning to expensive imported coal when Singareni Collieries Company Limited (SCCL) and other domestic sources could potentially meet the requirement. He said a prior agreement with Bothra Logistics for coal imports had raised suspicions about the company’s selection and the transparency of the procurement process.

He said the move could benefit private interests at the cost of SCCL and impose an unnecessary financial burden on Telangana.

The BRS working president stated that the proposed arrangement could involve a commission of Rs 1,500 per tonne, potentially amounting to Rs 3,000 crore. He demanded disclosure of all discussions, tenders, agreements, proposed purchase quantities, prices, logistics costs and payments involving Bothra Logistics, the State government and Singareni.

Questioning the government’s claim of a shortage of suitable coal for the Yadadri Thermal Power Station (YTPS), he cited a February 15, 2018, Union Coal Ministry allocation for 14 million tonnes per annum of G9-grade coal from Singareni mines and a supply agreement dated April 27, 2022. He sought details of actual supplies and the reasons for the alleged shortfall.

Rama Rao also pointed to Singareni’s coal production declining from 70.02 million tonnes in 2023-24 to about 58 million tonnes in 2025-26. He questioned the failure to maximise domestic production, including supplies from the Naini block in Odisha and the Mahanadi region. He demanded an institution-wise account of nearly Rs 60,000 crore in outstanding dues reportedly owed to Singareni, including the amounts due, payments received and pending liabilities.

Accusing the government of shifting responsibility for power cuts onto officials instead of addressing planning failures, the former Minister demanded a production review, a domestic coal supply action plan and transparency in private contracts for coal and ash handling at the Yadadri plant. He also questioned Kishan Reddy’s role, alleging that the Union Minister was not acting to protect Singareni’s interests.