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Private sector to be roped in for power production
3/20/2009 11:14:58 PM

Early Times Report

Jammu, Mar 20- The NC-Congress coalition Government has decided to take up with the centre, after the end of the Lok Sabha election, the issue of transfer of 390 MW Dhulhasti power project. The project has been built by the NHPC and the Jammu and Kashmir Government wants the project to be transferred from the central to the state sector. The state Government has conveyed to the centre that as a result of the Indus Water Treaty of 1960, Jammu and Kashmir State is suffering an annual loss to the tune of Rs.6, 000 crores.
During 1996-2002 the National Conference Government had submitted a memorandum to the centre seeking compensation in lieu of the losses owing to limitations imposed by the treaty in utilizing river water for power generation and irrigation. The same demand was repeated when the PDP headed a coalition Government. But the centre did not oblige the state on the plea that Jammu and Kashmir continued to receive bigger quantum of funds than other states. The centre had also released Rs.1300 crores which helped the state to purchase additional electricity from the northern grid.
Official sources said that the state Government has decided to persuade the Government of India for implementing the Rangarajan committee report. The report has recommended that the 390-MW Dhulhasti project be transferred to the state sector as part of compensation for the losses suffered due to Indus Water Treaty.
The ruling coalition has also decided to increase power generation on a priority basis and in this connection a number of mini and micro Hydel projects were being constructed and the aim was to add 4590 MWS within next six years. The Government has also decided to emulate Himachal Pradesh where the state is not only self-sufficient in power but also exports it to other states, by involving private sector in building mini power projects. The existing power shortage may get reduced after the Bhagliar and Uri Phase II projects were commissioned. According to power engineers the main problem in the power sector is the reduction in power generation during winter months. At times the power generation is as low as 24 per cent of the installed capacity because of storage schemes which are not allowed under the Indus Water Treaty.
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