No one really cared for Andhra Pradesh's distress and future while the state is being bifurcated but the Nature gods seem to be kind for the residuary state. Experts have found out that there may be coal deposits up to 1000 Million tonnes in West Godavari and Krishna districts in the regions close to Khammam district.
Government will take up the detailed drilling to estimate the quality and quantity of the coal. Chandra Babu Naidu is very much excited and ordered immediate next steps. Experts say if the government is proactive the coal production may begin in 2-3 years.
The coal deposits in AP were found a decade ago but as the distance from these deposits to Singareni Collieries is very huge, the governments did not show interest on them. Now with the state bifurcation, Andhra Pradesh has to dig out this coal for its requirements.
Transportation costs form major chunk of expenditures of Power projects. If the state government plans few Thermal based power projects around the coal deposits, Andhra Pradesh will save lot of money on transportation of coal and the mines can be run on profit.
Currently Andhra Pradesh is depending on the coal allocation from the Center and imports from other states for its coal requirements.