The contracts for Nagarjuna Sagar Tail Pond dam pumped storage project and the Sriram Sagar hydro project have been placed by Andhra Pradesh Power Generation Corporation (APGenco) and are worth a total of Rs82 crore (US$17.7M).

The Sriram Sagar project, based around two existing plants with a combined capacity of 1670MW, is slated for completion in 20 months, while Nagarjuna Sagar Tail Pond dam is targeted for completion in 26 months. The 2 x 25MW Nagarjuna project at Adividevulapalli village is based around a 110MW plant commissioned in 1978. A further seven reversible units of 100.8 MW each were commissioned during 1980-85. However, these could not be put into operation due to the absence of a downstream reservoir, which is now under construction.

Under the terms of the contract BHEL will design, manufacture, supply, test and supervise the erection and commissioning of three vertical Kaplan turbines along with matching synchronous generators and control and excitation equipment.