Jammu and Kashmir government has given its approval for the creation of a Local Area Development Fund (LADF) equivalent to one per cent free power for all Hydro Electric Projects commissioned in the state from 2008 onwards.
The decision was taken at a Cabinet meeting here last evening chaired by Chief Minister Omar Abdullah, an official spokesman said.
"The state government shall also facilitate one per cent by way of development grants," the spokesman added.
He said that a special provision for the creation of the LADF was made under the State Hydro Power Policy to carry out local development activities with a view to ensuring visible additional benefits for local communities within the project area as part of the cost of the project.
