State government decides to transfer Small Hydro Power Projects

04 Jul 2023 CW Team

In a decision made by the state government, four small hydro power projects currently under the jurisdiction of Himachal Pradesh State Electricity Board (HPSEBL) will be transferred to Himachal Pradesh Power Corporation (HPPCL). These projects, namely SAI Kothi-1 (15 MW), Sai Kothi-2 (18 MW), Devi Kothi (16 MW), and Hail (18 MW) located in Chamba district, will undergo the transfer process. The government has requested the Managing Director of HPSEBL to prepare the necessary details and procedures for the smooth transfer of these projects.

However, the employees' union of HPSEBL opposes this decision and has appealed to Chief Minister Sukhvinder Sukhu to reconsider and withdraw the move. HL Verma, the secretary of HPSEBL Employee Union, expressed concerns regarding potential delays in the commencement of construction, as well as issues related to service conditions for the HPSEBL staff that will be transferred to HPPCL along with these projects.

Verma emphasised that all the projects, which are currently being funded by foreign sources, have reached an advanced stage of execution. He claimed that the necessary clearances from the Foreign Currency Account (FCA) were in their final stages, and the land acquisition process was also well underway. Verma argued that transferring these projects to HPPCL at this crucial stage would result in a clear violation of loan agreements.

Additionally, Verma pointed out that since the electricity board had signed the loan agreements and obtained FCA clearances, the HPPCL would need to transfer the FCA clearances under its name, causing further delays in the projects. He further warned that this decision would adversely affect the HPSEBL staff involved in the transfer, citing previous instances where staff members faced service-related issues after being shifted to HPPCL.

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