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news details
Govt mulling to revive agreement with power giant NHPC
Past rulers spent Rs 20 thousand crores only to purchase power
10/17/2019 10:32:21 PM
Early Times Report
Jammu, Oct 17: Chances are high that the government may revive the agreement it had signed with the power giant NHPC in the past, turning the hopes high that the union territory of Jammu and Kashmir will not have to spend crores of rupees out of the exchequer to buy hydro power.
As per the sources privy to this development, the union government is seriously considering the proposal to revive the power sharing agreement the erstwhile state of Jammu and Kashmir had signed with the NHPC with an emphases to ensure that the power supply witnesses no paucity in both the regions of Jammu as well as in Kashmir Valley.
Reports informed that Rs 3667.500 crore were kept in the past financial year to meet the power expenses in Jammu and Kashmir.
Such a whooping amount out of peoples' pocket is being spent by the government only due to the fact that the previous regimes in the state have taken meagre measures to rectify the wrongs and making state self sufficient in generating its own power.
The power development department had earlier maintained that the total requirement of the state was 18022 MUs in the past and is estimated to be 18562 MUs this year. The actual restricted supply was 12663 MUs and for the current year, it is 13835. The actual deficit appears to be 4727 MUs. The power generation capacity of the state is 2813.46 MWs. This comprises of 761.96 in state sector. The state government also claims that Jammu and Kashmir is expected to become self sufficient by the end of 13th five year plan.
The shortage of power is also believed to be due to the distribution of water resources that was agreed to between India and Pakistan through the instrumentality of the Indus Water Treaty (1960). The argument made in the documents of the Government of J&K is that of the estimated potential of 20,000 MW (identified potential being 16480 MW) of the Indus River Basin, a large percentage of which cannot be harnessed for the benefit of the state as the Indus Water Treaty only allows for run-of-the-river projects that do not affect the riparian rights of Pakistan. Same is believed to reduce the power production to a third of the full potential. During 2011, for the first time since 1960, the Government of J&K appointed a consultant to quantify the losses to the state occurring due to the Indus Water Treaty. At the same time, the State Finance Commission is reported to have recommended that Pakistan must also be made to pay for the losses to the J&K exchequer. It is estimated that the state's power demand is likely to be 2,600 MW in 2012-13 and 5,500 MW by 2025-26.
Another major issue is that Jammu and Kashmir is receiving a mere 12 per cent free power as royalty from the NHPC projects. This is particularly alarming as nearly crores are being spent for the power purchase. Much of this power is purchased from the Northern Grid, to which the J&K itself contributes.
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