Srinagar,July 20 (Scoop News) -Speaking in the 2nd session of the marathon 65th Board of Directors meeting of Jammu and Kashmir State Power Development Corporation (JKSPDC) here last evening, Chief Minister, Omar Abdullah received detailed account of modus operandi of launch of new power projects by the Corporation. The Board also approves Rs. 1850 crore annual budget for JKSPDC.
The meeting which was attended by Madhav Lal Chief Secretary, Iqbal Khandey Principal Secretary Finance, B. B. Vyas Principal Secretary to Chief Minister, Sudhanshu Pandey Principal Secretary PDD, Basharat Ahmad Dhar Managing Director JKSPDC, Zahoor Ahmad Chat Executive Director JKSPDC, A.M.M Jehangir Director Finance JKSPDC and Alok Gupta Mamber (Hydro) Central Electricity Authority finalized and approved various proposals while discussing the agenda in the meeting.
The Board approved invitation of tenders for development of 390 MW Kirthai-I & 990 MW Kirthai-II as fully State owned projects through EPC mode. The Board approved award of Contracts for 9 MW Hanu & 9 MW Dah to the eligible lowest bidder on the basis of tender process successfully completed by the Corporation.
A 5 MW technology Demonstration cum Resource assessment Geothermal Project will be developed in IPP mode at Pugah Leh to herald the beginning of harnessing rich geothermal reserves in Ladakh region. While approving the Capacity of 1856 MW for the flagship Sawalkote HEP the Board emphasized the need to expedite the completion of Detailed Project Report and Techno Economic Clearance from CEA of the project. In respect of Baglihar stage-II for which financial closure has been achieved in record time in view of the confidence of the lenders and credit worthiness of JKSPDC, the Board decided to execute necessary agreements with PFC & J&K Bank for funding the debt component of Rs 2179 crore.
To encourage private sector investment in power sector particularly by local entrepreneurs, the Board approved the action taken by JKSPDC in tendering out 18 Projects with aggregate capacity of 245 MW for development in IPP mode out of which 12 Projects are reserved for permanent residents of the State. Board approved the cost estimates of seven HEPs which have been taken up under Renovation Modernisation & Uprating and further decided to take up five more projects namely Iqbal, Haftal, Karnah, Mohra & Stakna HEPs under this programme for optimum capacity utilization for which the Ministry of New & Renewable Energy , GoI shall be approached for sanction of subsidy . The Ministry headed by Dr Farooq Abdullah has indicated willingness to provide financial support for these projects. Other decisions taken include pursuit of CDM benefits for the projects being developed by the corporation, conversion of Pampore Gas Turbine to synchronous condenser mode, upgradation of access road to Kirthai-I & II and appointment of 75 Finance Assistants & 25 Stenographers.
The Board expressed its appreciation while noting that the Corporation is on a path of growth and progress reflected by earning of a profit of about Rs 345 crore during 2011-12. The budget for 2012-13 was approved for Rs. 1850 crore including equity investment in the major power projects namely BHEP-II, Parnai, Lower Kalnai, New Ganderbal, Kirthai-I , Kirthai-II, Pahalgam, Hanu, Dah and also the three Projects under Joint Venture namely Kiru, Kawar & Pakaldull.
Board of Directors also expressed satisfaction over progress achieved in switching over of the Corporation from Single Entry Cash based Accounting System to Accrual based Double Entry Accounting System in compliance with the provisions of companies Act, IT Act and recommendations of C&AG and also to meet the requirements commensurate with expansion and fast growth of the Corporation.