Over Rs 5000 cr meant for upgradation of power infra remain unutilized in J&K

Inability to take timely decision plays spoilsport

Mohinder Verma
JAMMU, Jan 7: The inability of those at the helm of affairs in the Power Development Department in taking timely decision on certain important aspects has acted as road-block in the launch of over Rs 5000 crore worth two Centrally Sponsored Schemes and Prime Minister’s Development Package (PMDP) aimed at upgrading the power sector infrastructure in entire Jammu and Kashmir during the past over two years.
Shockingly, nobody in this vital department is still in a position to specify any time-frame for roll out of the schemes and package as certain key issues are yet to be resolved by the concerned authorities.
On July 25, 2015, Prime Minister Narendra Modi launched Deen Dayal Upadhyaya Gram Jyoti Yojana (DDUGJY) to carry out power sector reforms in the rural areas with a view to ensure round the clock electricity supply to the rural households and farmers.
Another scheme titled Integrated Power Development Scheme (IPDS), a new avatar of R-APDRP Scheme, was also launched for reduction of AT&C losses, up-gradation of infrastructure, IT based billing and auditing system and collection efficiency. Whopping funds were made available to all States including Jammu and Kashmir under these two schemes.
Thereafter, under Prime Minister’s Development Package (PMDP) huge funds were made available to Jammu and Kashmir for power infrastructure in rural and urban areas. With this, the total amount for up-gradation of power infrastructure across the State increased to over Rs 5000 crore.
However, despite lapse of over two years neither DDUGJY and IPDS nor PMDP could be launched in the State due to inability of those at the helm of affairs in the Power Development Department to take timely decisions vis-à-vis allotment of works, official sources told EXCELSIOR, adding while all other States have made substantial progress under two Centrally Sponsored Schemes, Jammu and Kashmir has even failed to complete the spade work for roll out of these schemes thereby depriving people of the benefit of the flagship programmes of the Union Government.
The Power Development Department lost the period between July 2015 and January 2017 for floating one after another tender for allotment of works under DDUGJY and IPDS without analyzing the reasons behind poor response from the contractors. It was only in January 2017 that the Finance Minister Dr Haseeb Drabu came up with the statement that Government will rope in Central Public Sector Undertakings (CPSUs) for power infrastructure upgradation under DDUGJY and IPDS so as to avoid further delay in rolling out of these Centrally Sponsored Schemes.
Thereafter, the matter was taken up with the Union Power Ministry and finally discussed in the State Cabinet, which in the month of October last year accorded sanction for execution of works through CPSUs—–Power Grid Corporation of India Limited and Rural Electrification Corporation (REC) but wanted the Power Development Department to negotiate the implementation charges, sources said while disclosing that this progress has yet not reached the logical conclusion.
Neither the implementation charges could be settled with the PGCIL and REC till date despite lapse of several months nor Memorandum of Understanding (MoU) signed, which otherwise is a vital exercise to pave the way for start of work by the CPSUs, sources said, adding while these CPSUs want 9.50% implementation charges plus taxes the Power Development Department is still considering the same as exorbitant.
Initially, it was decided that in 13 districts Power Development Department will carry out works under the Centrally Sponsored Schemes on its own and in respect of six districts in Kashmir valley some contractors were also finalized but thereafter the contracts were terminated leading to litigations and presently the matter is pending in the court, sources said.
“As far as seven districts of Jammu region are concerned, the repeated tenders have failed to evoke positive response from the contractors as result of which in none of the 13 identified districts the Power Development Department could not start implementation of Centrally Sponsored Schemes”, they further said, adding “in this way funds to the tune of over Rs 5000 crore available under these Centrally Sponsored Schemes and PMDP have remained unutilized till date”.
Had decision about execution of works through Central Public Sector Undertakings been taken on time instead of wasting time on floating of tenders again and again much progress could have been made in the implementation of schemes so far, sources said.
When contacted, Commis-sioner/Secretary Power Development Department Hirdesh Kumar confirmed that implementation of DDUGJY, IPDS and PMDP has yet not began. “Hopefully the issue of implementation charges will be resolved with the PGCIL and REC as the Deputy Chief Minister, who is also Minister Incharge Power, and Finance Minister have called the meeting of senior officers of these CPSUs on January 10”, he said.
About execution of works allotted to PDD in seven districts of Jammu as was decided earlier, he said, “we have relaxed certain conditions in the fresh tenders and we are confident of receiving good response from private contractors this time”. He, however, admitted that timely decision vis-à-vis execution of works through CPSUs would have saved much time.

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