Odisha energy dept bars ICOMM Tele to take part in Rs 2,600 cr project

Hyderabad-based ICOMM Tele has been hired by NTPC to carry on RGGVY projects in three districts of Odisha

The state energy department has issued a cautionary note against ICOMM Tele, a tower maker for companies like Vodafone, Aircel and Power Grid Corporation, to take part in the Rs 2,600 crore Odisha Distribution System Strengthening Project (ODSSP) citing its unsatisfactory performance in other projects carried out in the state.

“It is learnt that ICOMM is participating in the tender floated for ODSSP. Since the performance of ICOMM is not satisfactory in execution of RGGVY (Rajiv Gandhi Gramin Vidyutikaran Yojna) projects, any tender filed by the firm for ODSSP projects may be considered under above mentioned background,” said P N Seth, additional energy secretary, in a letter to Odisha Power Transmission Corporation Ltd (OPTCL).

Hyderabad-based ICOMM Tele has been hired by NTPC to implement RGGVY projects in three districts, Kalahandi, Koraput and Dhenkanal. Frequent review meetings indicated that the company was not able to improve its performance in past couple of years. “The representatives of ICOMM have expressed their inability to perform citing bad financial condition,” the energy department official said in the letter, urging OPTCL to be cautious while considering tender application of the company. The ODSSP project envisages setting up of 500 power substations.

In the first phase, 178 sub-stations with 33 and 11kv capacity will be set up. OPTCL, which is the nodal agency to implement the project, had floated a tender in this regard in September last year. In the second phase, 165 sub-stations will be installed while the balance 150 will be installed in the last phase.

Upgradation of power distribution infrastructure needed extra attention from the state government as Odisha currently has 588 substations in total with 193 substations of 33Kv capacity separated by a distance of more than 30 km, resulting in huge transmission losses. Besides, rising consumer base of the state, which has gone up by five times to 5 million within a span of 13 years, has necessitated the need for upgradation of power distribution infrastructure.

Though the four power distribution companies (discoms) of the state are working on a Rs 2,400 cr capital expenditure plan to develop distribution network, the government said, it was forced to put extra investment from its kitty considering the poor financial health of the companies.

Apart from upgrading the existing power network, the state energy department is also taking steps to lay underground cables in important areas such as Puri temple, Lingaraj emple and Samaleswari temple.