Amaravati: Andhra Pradesh Chief Minister Y.S. Jagan Mohan Reddy chairs the first meeting of the new state cabinet at the state Secretariat in Amaravati, on June 10, 2019. (Photo: IANS)
After becoming the second chief minister of newly formed Andhra Pradesh, Jagan had already started working on various aspects of previous governance. One among such aspects is the revisiting of renewable power purchase agreements.
Jagan claims that in previous term governance, there has been a lot of corruption in various projects and their tenders. And so he feels that there is a need for revisiting such project details to ensure proper working of the projects. Responding to his opinion to revisit the renewable power purchase agreement, Union of new and renewable power purchase project secretary Anand Kumar has sent a letter to AP chief minister, YS Jagan Mohan Reddy. Anand wrote that Jagan's thought to revisit must be reconsidered as that may destroy the investor’s confidence.
Also, it is being said that Jagan had ordered to cancel all the infrastructure contracts awarded by Chandra Babu Naidu in the previous governance. He advised that all those involve corruption to some extent. Such a situation has already arisen at the time of YSR's death. Most of the projects were stalled and the investors went into shock as to how to recover the loss if the projects don't continue later.
If again the projects are stalled, then the investors may lose confidence and might hesitate to invest in further projects. Hence the center has asked Jagan to rethink once with his decision. By such a negative response from the center within such a short time of his governance, Jagan might have been shocked.
