Govt to reinstate MoU on Kynshi project ** Final hurdle in Rs 2100-cr Leshka project expected to be over by 2025
Shillong, July 3: The state government has made progress towards execution of different hydro power projects, said power minister AT Mondal on Thursday.
One of them is Kynshi Hydro Power Project stage-I for which the government going to reinstate an MoU signed with Athena Pvt Ltd, which was initially allotted the project in West Khasi Hills district.
The proposal for the MoU will be placed in the cabinet soon, Mondal said.
As per the original MoU, it was a run-of-the-river (RoR) project, but later the company later proposed a hybrid model incorporating Pump Storage Project (PSP) technology for which the original MoU had to be scrapped.
However, Athena opted to revert to the original RoR proposal without PSP, citing feasibility with new technology.
“With the coming up of the new technology, they (Athena) said RoR is also feasible,” Mondal said.
The state government will get 12% free power upon project implementation, and 1% will be allocated for local area development, according to the minister.
Meanwhile, the minister met a delegation of the Joint Committee of Local People on Kynshi Hydro Power Project (JCLPKHPP), expressing optimism about the project’s prospects.
He assured the delegation that a joint meeting would be held to facilitate cooperation between the government, the company, and local stakeholders.
On the progress in Leshka Hydro Power Project stage-II, the largest hydel project to be implemented in the state, the minister said the final hurdle in the project is expected to be cleared this year.
The 210 MW RoR project has already cleared 11 out of 12 chapters, including environment and forest clearances, required for its implementation.
The minister said the remaining chapter is the most critical and challenging one.
“This is a very tough and tricky window,” he said while express the hope that it will be cleared by the end of the year.
Estimated at Rs 2,100 crore, the project can move forward once all clearances are obtained, he said.
Asked, the minister said acidic level of Myntdu river has improved, making implementation of the project more feasible now.
Meanwhile, the power minister assured that all stakeholders will be taken into confidence while implementing the Kulsi Multipurpose Project by Meghalaya and Assam.
Referring to the “friendship project” as it was discussed between chief ministers of both the states, Mondal said the Meghalaya chief minister already assured that interest of all stakeholders will be considered before proceeding with the project.
He, however, admitted that the project is still at a preliminary stage, and no concrete decisions have been made regarding its execution.
To a query on 22.5 MW Ganol Small Hydro Project, the power minister rejected the demand for an independent inquiry into alleged unprecedented cost escalation of the project.
Leader of Opposition Mukul Sangma had raised the demand for an inquiry stating that the government had revised the project cost multiple times – from Rs 356.43 crore to Rs 590.88 crore.
Stating that cost escalation is not unusual for hydro power projects, Mondal said the costs have been thoroughly vetted by IIT Guwahati and audited by the AG’s empanelled arbitrator.
The cabinet has taken a decision to close the project, considering its current generation status and potential future issues.
“If we hang on, then many other issues may crop in also, so it has been closed with that account,” Mondal said.
He cited changes in project’s design as reasons behind cost escalation. Initially, the project was planned with a surface-type channel, but the CWC later recommended an underground tunnel. This change led to additional costs, including those related to geological surprises.
Referring to the cost escalation, he said the project’s benefits to the state over its lifespan outweigh the costs.
