Hyderabad: The Telangana government has decided to establish a power distribution company (Discom) exclusively to cater to the needs of free power to the agricultural sector, households consuming 200 units of power, and government educational institutions across the state.

Chief minister A Revanth Reddy, along with deputy chief minister Bhatti Vikramarka, held a high-level meeting with the energy department officials at his residence Jubilee Hills on Wednesday, July 30.

He said that the new Discom should take the entire state as a unit for all the government energy schemes.

Observing that the performance of the existing Discoms would improve due to this measure, he said that the credit ratings of the existing Discoms would also improve.

He directed the officials to take steps to improve the financial situation of the existing Discoms, and to reduce the debt burden on them, by restructuring and reducing the interest on the debt being incurred by them at the rate of 10 percent presently.

He also directed the officials to take steps to setup solar power plants in all the government offices in the state, wherever there was vacant land available.

He ordered the officials to prepare plans for the same at the earliest.