Fed up by delay, govt tells firms to expedite projects

Pratibha Chauhan

Tribune News Service

Shimla, June 19

Not willing to accept any further delay in the completion of allotted hydropower projects, the cash-strapped Himachal Government has sought the revised completion schedules of 21 stalled hydropower projects having a capacity of 684 MW.

Having rolled out concessions under the Hydro Power Policy 2006, the government is keen to expedite work on the already allotted project, some of which have been stalled for various reasons.

Additional Chief Secretary (Power) Tarun Kapoor on Tuesday held a meeting with independent power producers (IPPs) to take feedback from them on the hurdles being faced in completion of the 10 stalled projects on which work has not begun. In the remaining 11 projects also, the progress is extremely slow. “We have asked the power producers to expedite work on these 21 projects and also cancelled the Joiner-II (8 MW) in Kinnaur,” revealed Kapoor.

The 10 projects on which work has been stalled include Sorang (100 MW) Tidong-I (100 MW), Tangnu Romai-I (44 MW), Paudital Lass (24 MW), Roura-II (20MW), Kut (24 MW), Tangnu Romai-II (6 MW), Fozal (9 MW) and Rajpur (9.9 MW). The other 11 in which progress is very slow include Baoji Holi (180 MW), Kuwarsi-II (15 MW), Salun (9 MW), Raura (12 MW), Rala (13 MW), Jeori (9.60 MW), Lambadug (25 MW), Wanger Homte (24.60 MW), Holi-II (7 MW), Swelti Masrang (24 MW) and Chanju-II (19.8 MW).

There are a total of 21 projects above 5 MW which are being executed by the private sector, having a total capacity of 684 MW. At the same time, there are 53 other projects at various clearance stages with a total capacity of 2,917 MW. The number of projects which have been commissioned is 22 with a total capacity of 1,965 MW.

The cash-strapped government is desperately trying to enhance revenue from the power sector. “Though there has been some improvement in the otherwise grim power scenario in the recent past, the fact remains that there is tardy progress on the ongoing projects which means hardly any projects coming into generation,” said an official. It is with this objective that the government had last month rolled out many incentives to power producers.

With there being no takers for 26 hydro projects, the reforms were brought about in the Power Policy to woo investors. “We have received bids for two projects which means that investors are now willing to get into hydropower sector,” said Kapoor.

The Cabinet at its meeting held on May 8 approved to defer 12 per cent free power for first 12 years in case of the already allotted projects so as to provide them relief during the initial years when loan interest payment is high.

Takes feedback

n Additional Chief Secretary (Power) Tarun Kapoor held a meeting with independent power producers to take feedback from them on the hurdles being faced in the completion of the 10 stalled projects on which work has not begun. In the remaining 11 projects also, the progress is extremely slow.