Cabinet nod to addl power generation

Tribune News Service

Shimla, September 9
The state Cabinet today gave nod for plan to add 2,000-MW additional power generation capacity in thermal and gas sectors. It also decided to reduce VAT on washing soap, excluding detergent in all forms, from existing 12 per cent to 4 per cent.

The government will make efforts to secure coal blocks for 1,500-MW thermal power and the remaining 5,00-MW will be procured through share in the Ultra Mega Power Projects. It will also enter tie-ups for setting up gas-based projects in the state. The meeting was presided over by Chief Minister PK Dhumal.

It gave nod to HIMURJA for inviting open bids from private players for executing 54 identified small hydroelectric projects ranging between 0.40 to 5 MW with aggregate capacity of 134 MW. Out of these 30 projects up to 2-MW capacity projects will be exclusively reserved for Himachali entrepreneurs according to the power policy of the state and they will be given preference in bidding for execution of other 24 projects beyond 2-MW capacity as well.

It approved allotment of Suil (13 MW) to M/s MBD Limited and Saach (149 MW) to M/s Larson and Tubro Power Development Limited. It also approved that in respect of Reoli Dugli (420 MW), Dugar (236 MW), Kilhi Bahl (7.5 MW), Mane Nadang (70 MW), Lara (60 MW), Tingret (81 MW), and Kuling Lara (40 MW), where highest bid has not been matched, the second highest bidder be asked to confirm the original quoted bid.

It also decided to re-advertise the Khoksar (90 MW) in view of very low second highest bid. It approved provision of additional 1 per cent free power to the ongoing and new hydroelectric projects, over and above the free power, to be provided to the state for the Local Area Development Fund in accordance with the New Central Hydropower Policy, 2008.