PPAs: Another major setback for Jagan

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From the time YSRCP formed the government in Andhra Pradesh, Chief Minister YS Jagan Mohan Reddy is trying his best to review the PPAs signed by the previous government. While the BJP government at the Centre, already suggested Jagan not to do it, the young CM still continued to move forward.

The AP High Court has issued stay orders on the proposed review of the PPAs by the state government. The next hearing in this case is scheduled on August 22nd.

Several wind and solar power companies filed the petition seeking orders to stop the YSRCP government from reviewing tariff PPAs. All such companies argued that it is unconstitutional on the part of the government to review the agreements, that were already reached. As the power companies are backed by the Central government, Jagan is finding it extremely tough to handle the issue, but is not willing to give up on it.

Also read: Asian Bank targets Jagan, writes to Centre

Though Jagan’s intention was to erase the mark of the previous government and trouble TDP Chief Chandrababu Naidu, the situation is getting worse, as even the Centre is involved in it.

As the young CM has now received a jolt from the High Court, it would invite unnecessary criticisms from the opposition parties and also strengthens them. So it would be better for Jagan if he stays away from reviewing the PPAs. Otherwise, he may to have face more bitter days ahead, even from the Centre.

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