Srinagar, Nov 22: The government of India owned Central Electricity Authority has given go-ahead for the construction of second phase of Baghliar hydroelectric project in Jammu and Kashmir.
“Following CEA approval to the Detailed Project Report of the Baghliar-II, the state government has initiated discussions with the government of India for financial closure of the phase-II which would also be 450 megawatts on the pattern of Baghliar-I,” Minister of State for Power Shabir Khan told Greater Kashmir.
The approval by CEA would now allow the state government to approach financial institutions to seek funding for the construction of the Baghliar-II on River Chenab in Jammu division. The CEA is a statutory organization which prescribes to the state and the central government, the standards for construction of power projects besides advising on technical matters related to power generation.
“In the recently held Power Ministers’ conference in New Delhi we also sought liberal funding from Union Power Ministry for the Baghliar-II,” Khan said. The estimated cost of the project is around Rs 3,300 crore and it is scheduled for completion by the end of 2015. The project, like Baghliar-I, would have three power generating units with a capacity of 150 MWs each.
Jammu and Kashmir State Power Development Corporation (JKSPDC), Managing Director, Shaleen Qabra had called on CEA chairman, Gurdial Singh recently to get the Techno-Economic clearance on the run-of-the-river Baghliar-II project which would be completely state owned.
The CEA, sources said, however, approved the project at low cost than projected by the Jaiprakash Group and Voith Seimens who have constructed the Baghliar-I. The government would also rope in another foreign company Lahmeyer International for supervision and quality control of the project.
The government would now negotiate with the New Delhi based JP Group and Voith Seimens for allotment of the works which would be followed by issuance of Letter of Award.
Officials said the biggest challenge for the government would be getting loans from different financial institutions for the project.
“Obviously government will approach New Delhi based Power Trading Corporation and other financial institutions including J&K Bank for finances for the project. Given the success of Baghliar-I, the financial institutions should not hesitate to come forward,” officials said.
Some minor works including excavation for setting up the power house and tunnels for carrying the water from main dam, has already been taken up by the JP.
Once completed the total power production from Baghliar-I and II would jump to 900 MWs and is expected to tide over the power problems and huge economics losses suffered by the J&K due to import of electricity. The state government last year spent over Rs 2500 crore on import of energy.
At present Jammu and Kashmir generates almost 722 MWs electricity from its power projects including 450 megawatts Baghliar-I, the actual requirement of energy is around 2250 MWs. The shortfall of around 1528 MWs is met by power purchases from outside the state.

Lastupdate on : Mon, 22 Nov 2010 21:30:00 Makkah time
Lastupdate on : Mon, 22 Nov 2010 18:30:00 GMT
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