HP govt asks Centre to fix 40-year contract for hydropower projects

The Himachal Pradesh government on Saturday said it has asked the Centre to fix a 40-year contract for the operation of hydropower plants and increase the state's share in electricity generated from such projects.

Chief minister Sukhvinder Singh Sukhu met Union power minister R K Singh who visited Kinnaur district of the hill state recently.

Sukhu urged the Union minister to fix a 40-year contract with the state government for various hydropower projects, including those of Satluj Jal Vidyut Nigam Limited (SJVNL) and Bhakra Beas Management Board (BBMB), according to a statement issued here.

The chief minister also demanded higher share of electricity from these projects as the state is being deprived of its revenue from several projects that have become debt-free, the statement said.

At present, there is no agreement between the Centre and state for the operation and management of hydropower projects even as the state gets a fixed share of free electricity as royalty for providing land and other resources for such projects.

Sukhu said that several projects under SJVNL and BBMB, including the Nathpa-Jhakadi, Rampur, Bhakra Dam, Beas Satluj Link and Pong Dam projects, have become debt-free and are earning a healthy revenue.

However, Himachal Pradesh gets only 12 per cent free electricity from Nathpa Jhakri project (1500 MW) and Rampur project (412 MW.

The chief minister also said that the state government has been deprived of its revenue as it is not getting enough share of free electricity in the Bhakra Dam Project (1478 MW), Beas Satluj Link (990 MW) and Pong Dam Project (396 MW) operated by BBMB.

Only 7.19 per cent of power is given to the state in these BBMB projects, which is not sufficient, he said.

Himachal Pradesh has full ownership of the land and water used in these plants and the state had also arranged rehabilitation of many families who were displaced for setting up of these projects, he added.

The chief minister also informed the Union minister about the commencement of the construction work of Luhri Phase-I (210 MW), Dhaulasiddh (66 MW) and Sunni Dam (382 MW) by SJVNL without signing of the implementation contract.

He said SJVNL has not signed the contract even after repeated requests by the state government.

Singh assured the chief minister to take appropriate action on all issues, the statement added.