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After power generator, BHPP now becomes profit generator for J&K

Subodh Bhasin. Dated: 3/7/2018 11:24:33 AM

Subodh Bhasin
Jammu, Mar 6
The hydro power project ‘Baglihar Hydroelectric Power Project’, which is a run-of-the-river power project on the Chenab River. The project which was conceived in 1992, approved in 1996 and construction began in 1999 with capacity of 450 (3 X 150 mw) MW project.
It is worthwhile to mention that electricity is an essential source of commercial energy and in the State of Jammu & Kashmir it is vital for sustained economic growth. In the past few years there is tremendous increase in demand for power which implies growth of the economy leading to modernization, industrialization and improvement in basic amenities culminating into a better quality of life of people. The state of Jammu and Kashmir is endowed with significant hydel potential which, when exploited fully, will provide a strong impetus for the growth of its economy. In the previous years the State of Jammu and Kashmir was not been able to find takers of the projects generated in Baglihar -II, resulting into loss of revenue.
As per the reports BHEP-II, which commenced its commercial operation in the year 2016 with State government approval and for which 60% power was to be sold through PTC in open market and 40% to State PDD at SERC as per the approved tariff but despite the approval State failed to get the buyers for power generated at Baglihar –II projects. Unfortunately due to inability of the authorities there was huge slump in power market in the year 2016 & 2017. As a result of which JKSPDC could not find buyers of the 60% power in open market at acceptable rate resulting into loss of revenue to the State of Jammu & Kashmir.
As per the record now JKSPDC has succeeded in selling required quantum of power to UPCCL through the tenders of 2017 with reverse auction and appreciable rates @ Rs 4.28 per unit for the month of May 2017, Rs 4.04 per/unit for the month of June, July and August 2017 and Rs 4.29 per / unit for the month of September 2017 for 270 MW of Power. Although lately LOA in this regard was received by JKSPDC on 5.01.2018.
As per the Government records no power projects have been taken up for construction during last three years from 2015 -16 to 2017-18 by JKSPDC. The State Government however entrusted CVPP to implement three Hydro Projects in Kishtwar viz: Pakal Dul HEP with 1000 MW capacity for which investment approval from GoI has been received. Kiru HEP with 624 MW capacities for which investment approval from GoI is awaited. Kwar HEP with capacity of 540 MW for which also investment approval from GoI awaited.
In the year 2010 with the initiative of State Government and Government of India, a joint venture company namely Chenab Valley Power Projects was formed among NHPC )49%), JKSPDC (49%) and PTC (2%) on 21.12.2010 to develop Pakaldul and two other hydro power projects with an aggregate capacity of 2100 MWs.
Optimal availability of hydel resources in the State would not only meet the internal demand but will also supply power to the Northern grid to boost the overall development of the State.