VINOD KUMAR GUPTA
Sunday, 31 May 2009
CHANDIGARH: PSEB Engineers’ Association has urged the Punjab Government to take the 1320 MW Rajpura Thermal Plant in public sector after the Punjab State Electricity Regulatory Commission has declined to give approval to the project due to lack of competition and go for re-bidding.

The association in a press note has contested the Governments claim that state would be free from power cuts in coming years as it has erred by putting all its eggs in one basket by depending entirely on private developers.

For the last more than 2 years, PSEB and the State Government are trying to build three new thermal plants of 5940 MW capacity identified at Talwandi Sabo (1980 MW), Rajpura (1320 MW) & Gidderbaha (2640 MW) through private developers but the actual work has still not been started at any project.

HS Bedi President of association said that about 2 years back, all the three technical members of the Board in a joint note opined that out of Talwandi and Rajpura plants, at least one should be taken up in the state sector. Even full Board had recommended setting up of plant under state sector to the government but it appears that state government is not interested to listen to the voice of technocrats.
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Bedi further said that to set up 1320 MW Rajpura plant, Punjab has to contribute approximately Rs. 270 Crore per year for four years as its equity of 20 percent whereas 80 percent can be arranged through loan For a State government which is paying a subsidy of over Rs. 2600 crores per annum to PSEB on account of free power to agricultural sector and other categories, mobilisation of Rs. 270 cr. per year for a limited period of 4 years should not be an issue provided there is will to build up the plant in state sector. With all the clearances have been obtained and the project can be easily commissioned by PSEB in 36 months from the date of go ahead.

Bedi further said that the Goindwal Plant has not seen the light of the day so far due to some tangle between GVK Company and State appellate authority. During this period the cost of project has increased from Rs. 1800 crores to Rs. 2980 crores.
The progress of Talwandi Sabo thermal project is also limited to the purchase of land only and Sterlite Company is trying to wriggle out of this project due to financial problems being faced by company.

Whereas Punjab Govt. has reportedly sought one year extension for un bundling of PSEB yet but executive committee of association strongly feels that PSEB can be kept in its present state except that only power trading is required to be separated. The executive committee in its meeting held recently was of firm view that according to Electricity Act, 2003, only for sale/purchase of electricity new company is required to be formed, whereas generation , distribution and transmission of electricity can be taken care of by PSEB.

Bedi stated that legal opinion from legal luminaries of our country has been taken on this issue and they supported the view of association. A written legal opinion regarding this has already been sent to Punjab Govt., but state bureaucracy is hell bent on separating generation and transmission and forming small distribution companies for their selfish motive.

Meanwhile central Executive of Association unanimously decided that retirement age of employees should l remain 58 years, so that younger generation can get avenues of employment. Association wanted that vacancies should be filled for getting better results and for human resource development modern techniques should be adopted.