The Andhra Pradesh Electricity Regulatory Commission (APERC) has approved the cost data for the centralized procurement of materials required for distribution works in the financial year 2025-26. This cost data serves as the basis for estimating expenses related to the erection of electric lines and infrastructure for electricity distribution across the state.
The approval process involved a detailed evaluation of the cost proposals submitted by the Andhra Pradesh Central Power Distribution Corporation Limited (APCPDCL). The commission compared the proposed rates with those adopted by neighboring states, manufacturers, and local market prices. An escalation factor was applied wherever necessary to account for inflation. After careful assessment, the commission finalized and approved the cost data, which will now apply to all three power distribution companies (DISCOMs) in the state.
The approved cost data includes rates for various materials such as RS joists, PSCC poles, steel structures, electrical insulators, cables, conductors, transformers, circuit breakers, lightning arrestors, and other essential components required for distribution network development. The commission specified that all approved rates exclude GST.
To ensure efficient and cost-effective power distribution, a pilot project will be implemented where a feeder with energy-efficient transformers will be installed in each DISCOM to analyze cost-benefit outcomes and energy savings. The commission has directed that a report be submitted on the performance of these installations.
In addition, the commission has recommended conventional breakers for 33kV and 11kV systems instead of PMA breakers, which are more expensive. However, PMA breakers already in use will be monitored for performance, and a report will be submitted for further evaluation.
For the erection of 33kV lines, standard pole specifications must be followed based on geographical conditions. If towers are required at specific locations, the approval of the CMD will be necessary after an inspection by the relevant operational authorities. No towers should be proposed without proper justification.
The approved cost data must be published on the websites of all DISCOMs by April 1, 2025. This will provide transparency and serve as a reference for cost estimations in upcoming projects. The commission has warned that any deviation from the approved cost structure will be taken seriously.
The commission’s decision aims to standardize procurement costs across DISCOMs, ensuring fair pricing and efficient utilization of resources. The structured approach is expected to enhance the reliability and affordability of power distribution in Andhra Pradesh, benefiting both utilities and consumers.
