SJVNL loses Loori project

Irked by the behaviour of central public sector hydel company Satluj Jal Vidyut Nigam Ltd (SJVNL), Himachal Pradesh Chief Minister Virbhadra Singh has refused to award it the work of building a key hydel project in the hill state.

"I announce the formation of the Himachal Power Corporation(HPC) which will build the Loori project instead of the SJVNL. The state will have a 60 per cent equity in this and the Himachal Pradesh State Electricity Board (HPSEB) will have the rest," said Singh.

Despite requests to the SJVNL, it refused to recruit a state cadre Indian Administrative Service (IAS) to the important post of Director Personnel, as is the precedent, as the state has a 25 per cent equity in the central public sector company.

Instead, it recruited Rajinder Singh Katoch of Bharat Heavy Electricals Ltd to the post early yesterday.

"Now I will do what is necessary. I hereby announce that the proposed 700 Mw Loori hydel project will be built by a new Himachal Pradesh public sector unit instead," said an angry Virbhadra Singh yesterday.

This has come as a major setback for the SJVNL which successfully built the 1,500 Mw Nathpa project in the state, last year. The SJVNL is maintaining and running the Nathpa project. Last year, the state had also awarded work of the 434 Mw-Rampur project to the SJVNL, and was expected to allot the Loori project work also.

At over 20,000 Mw, the state has a quarter of the entire country's power potential and only a quarter of this has been tapped so far. Work is on by state, central PSUs and private firms to tap the rest of power at a fast pace.