Press Trust of India cited Chhattisgarh principal secretary for energy Aman Kumar Singh as saying: "Chhattisgarh is an energy-surplus state and it would be our priority to supply electricity to Telangana and other neighbouring states as per their requirement.
Under the terms of the MoU, Chhattisgarh will supply 1,000MW of electricity from Madwa thermal power project in Janjgir-Champa district.
"I have written a letter to Union Energy Minister Piyush Goyal requesting him to facilitate a new transmission grid for electricity supply to Telangana. Other transmission lines would also be used to supplying electricity to Telangana.
The Madwa project, which is under-construction, is scheduled to begin production by March 2015.
Telangana chief minister Rao said: "I had personally requested Dr Raman Singh for electricity, to which he responded heartily."
The two states are also seeking to cooperate in other sectors including irrigation and development, Rao added.
