PSEB pacts to ensure a cool summer
Jangveer Singh
Tribune News Service

Chandigarh, March 8
The Punjab State Electricity Board (PSEB) has finalised a power-purchase agreement for the purchase of 100 MW from the Baghlihar hydro power station in Jammu and Kashmir, besides signing three other such agreements, which will bring in additional 591 MW to the PSEB kitty during this summer.

Chief Minister Parkash Singh Badal tabled this information about the agreements in the assembly regarding Gurdeep Singh Bhaini’s question, which was deemed answered in the face of a boycott of the House by the Congress.

The agreement for the 100-MW power purchase from Jammu and Kashmir will be signed later this month. Earlier, the PSEB signed three agreements with Tata Power Trading Company, the NTPC and the THDC for the purchase of 591 MW.

With all those agreements, there has been a net addition of 658 MW to the generation capacity of the state during the past two years. Besides, agreements have also been signed with 10 private companies for the purchase of power from mini hydropower projects. It will start getting 13 MW from these projects from December, 2009.

The state government is also upbeat about the 1,320-MW Rajpura thermal plant project. The Chief Minister has informed the assembly that following the approval of the project by the state, it is likely to be commissioned by March, 2012. The project has been referred to the State Electricity Regulatory Commission after a lone private bid was received for it.

Badal said the work on 2640-MW Gidderbaha thermal power project had been initiated and the bidding process for the same was under way.

According to the information tabled in the House by the Chief Minister, the outstanding debt of the PSEB as on December 31 last year ws Rs 12,600 crore. The accumulated losses of the board till the same date were to the tune of Rs 7,370 crore.

The government claims that on its part it has paid Rs 2,280 crore subsidy due on account of power supplied to the agriculture sector. It has also decided to issue a government guarantee of Rs 6,025 crore to enable the board raise loans from financial institutions and banks.