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YTPS was established without assured coal allotment; previous BRS govt changed source several times: Bhatti

Telangana’s Yellandu Thermal Power Station was set up without a guaranteed coal allocation, and the previous state government altered its fuel source several times. The current power minister says there are no plans to privatise the state’s power utilities.

The Hindu TelanganaOctober 13, 20261 min read
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YTPS was established without assured coal allotment; previous BRS govt changed source several times: Bhatti
The Strategic Consequence
Watch for updates on coal allocation agreements and any legislative moves regarding power sector reforms in Telangana.

The Yellandu Thermal Power Station (YTPS) was launched under the premise of meeting growing electricity demand in Telangana, but it entered operation without a secured long‑term coal supply contract. This lack of certainty forced the project team to explore alternative fuels, leading to a series of revisions in the plant’s fuel strategy during the tenure of the previous BRS administration. Sources indicate that the earlier government shifted between imported coal, domestic coal from different mines, and even natural gas, creating uncertainty about the plant’s operational costs and reliability.

In a recent interview, the current Telangana Power Minister clarified that the state government does not intend to hand over any part of its power generation assets to private operators. He emphasized that maintaining public control over electricity production is essential for ensuring affordable rates and for meeting the state’s development objectives. The minister also highlighted ongoing efforts to secure a stable coal supply through negotiations with central authorities and private miners, aiming to reduce the operational volatility that has plagued YTPS since its inception.

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Analysts note that the situation at YTPS reflects broader challenges faced by Indian states that rely on coal‑based power while trying to attract private investment. The absence of a guaranteed fuel source can deter private partners, while frequent policy shifts may erode confidence among existing stakeholders. The minister’s stance against privatisation may reassure some constituents, but it also raises questions about how the state will fund necessary upgrades and meet future demand without private capital. The outcome will likely influence Telangana’s overall energy strategy and its ability to deliver reliable power to households and industries.

📡 Verified Wire Agency Verified Resource & Provenance
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