Centre to give 25% more power to J&K

The Centre has agreed to provide additional 25 per cent share in unallocated power from the national grid to Jammu and Kashmir to help the state meet its additional requirement of electricity during winter.

This was agreed to at a meeting between the state Chief Minister Ghulam Nabi Azad and the Union Power Minister Sushil Kumar Shinde at New Delhi on Saturday, an official spokesman said.

Shinde, responding to Azad's request for transfer of Dul-hasti power project to the state, said the decision in this regard would be taken within next two months, the official said.

He further informed that the chief minister also sought the Centre's approval for the Asian Development Bank's (ADB) $720-million assistance for power sector in the state during the 60-minute meeting with the union power minister.

The ADB loan comes at an interest rate of 6-7 per cent and will be used for construction of two power projects at Karthai and New Ganderbal besides for capacity building in power sector, the spokesman said adding the state government expects union ministry's approval for the ADB project by middle of next month.

He said Azad also discussed the closure of the second phase of Baglihar hydel power project due to financial crunch with Shinde, who assured him full support.

The chief minister immediately directed the state economic advisor to meet the chairman of the National Power Finance Corporation. The state government hopes the deal would be finalised within three months, the spokesman said.