Central Chronicle , Tuesday, June 14, 2005

Correspondent : Staff Reporter

Bhopal, June 13 a loan agreement of Rs 1350 crore for the construction of 520 Mw Omkareshwar project was signed between the National Hydelpower Development Corporation and consortium of 11 banks here today in the Presence of chief minister Babulal Gaur. Chief executive director s K Dodeja of the corporation told newsmen that the NHDC had succeeded in arranging the loan at a very competitive rate of seven percent per annum which was without any guarantee in support from the state or central government . The rate was lowest to public sector hydropower development utilities. He said that the total investment when the project had started was Rs 2224 Crore but the same had declined to Rs 2124 when the NHDC took the project in its hand. The benefit accrued by the Rs 100 crore decline shall directly benefit the electricity consumers. The completion cost of Omkareshwar project was estimated to be Rs 2145 crores comprising of equity contribution of Rs 612.58 Crores both by NHPC and Govt of MP (since received), loan portion of Rs 1350 crores was being arranged through consortium lending and balance through irrigation component to be funded by the government of Madhya Pradesh. Dodeja said that NHDC( a joint venture of NHPC and Govt of MP) was set up on August one 2000 with its corporate office at Bhopal. An ISO 9001-2000 certified company, NHDC has been entrusted with the construction of Indira Sagar project(1000 Mw) and Omkareshwar project(520 Mw) with the authorised share capital of Rs 3000 crores. The foundation stone of the project was laid 19 months ago by former Prime Minister Atal Bihari Vajpayee. Efforts were Underway to start producing power from some small power units by 2006. Low interest to cut production cost Bhopal, June 13 The cost of Omkareshwar project would come down by about Rs 100 crore with its completion by June 2007 a year ahead of the schedule. Availability of Rs 1350 crore loans from 11 banks at the lowest 7 percent rate of interest for any hydel power project in the country would also bring down the cost of per unit power generation from Rs 3.50 per unit to about Rs 2. This was informed at a function held at Mantralaya here today to sign an MoU with the Consortium of 11 Banks for the Omkareshwar project. The MoU was signed in presence of the Chief Minister Babulal Gaur and Chief Executive Director of National Narmada Hydroelectric Development Corporation (NHDC ) S. K. Dodeja. The Chief Minister expressed gratitude to the banks giving loans for the NHDC saying that the Narmada river is turning out to be a bedrock of the economic development of Madhya Pradesh through irrigation and hydel power projects. Chairman of the Narmada Valley Development Authority A. V. Singh said that Narmada is vital for development of one third geographical portion of Madhya Pradesh. After Bargi, Indira Sagar and Sardar Sarovar projects, now Omkareshwar would be contributing to the development of the state. Dodeja informed that the people as well as the State Government are getting benefits as the project cost is coming down and loans would also be available at lowest competitive interest rate. He said that the NHDC is a joint venture of Madhya Pradesh State Government. This company has so far given dividend of Rs 2.40 crore to the State Government and dividend of Rs 6.80 crore has been proposed this year. The total cost of Omkareshwar project is estimated at Rs 2154 crore. It has succeeded in mobilizing finances at the lowest competitive interest rate of 07 percent due to speedier work of Omkareshwar project and the Indira Sagar Project nearing completion. The bank loans of Rs 1350 core have been obtained without guarantee from the State Government and the Centre. Remaining part of the project cost would be met out by the State Government by way of Rs 612.58 crore equity and irrigation project. The NHDC, which is a joint venture company of Government of India's NHDC and Madhya Pradesh State Government founded on August 01, 2000. It is constructing Indria Sagar Project of 1000 MW and Omkareshwar Project of 520 MW. Indira Sagar project work is at pace with the completion of 99.94 percent concreting work in the dam. Hundred percent concreting has been done in power house and all 20 radial gates have been installed. The then Prime Minister Atal Behari Vajpayee laid foundation for Omkareshwar project 19 months back. The project cost was estimated at Rs 2224.73 crore, which has come down to Rs 2145 crore. Efforts are on to start power generation from some power units in 2006. General Manager of Union Bank Sunder Rajan, General Manager of Central Bank T. R. Gopalan said that the big projects promote national unity as they are made a reality with the contribution of national level financial, technical and other institutions. The consortium of banks giving loans of Rs 1350 crore for the Omkareshwar project include the Union Bank of India (300 crore), Corporation Bank ( 100 crore), Central bank of India (138 crore), Allahabad Bank (150 crore), Punjab National Bank (173 crore), United Bank of India (75 crore), Oriental Bank of Commerce (150 crore), Indian Overseas Bank ( 50 crore), Canara Bank ( 104 crore), United Bank of India (75 crore ), SIDBI (35 crore ), and Syndicate Bank ( 75 crore). The MoU was signed by General Manager (Finance and Accounts) N. H. Chadha on behalf of NHDC and representatives of 11 banks. Representatives of all arrangers namely Allianz Securities, New Delhi, S. P. A Merchant Bankers Limited New Delhi and A. K. Capital Services Ltd. New Delhi were present. Small hydel projects Bhopal, June 13 A high level meeting chaired by the Chief Minister Babulal Gaur here today decided to take further action for taking up four small hydel power projects. These projects have been proposed by the Narmada Valley Development Authority. These projects include Handia, Boras and Hoshangabad of 50 MW each and Gopalpur project of 25 MW. After this decision survey of these projects and seeking necessary approvals and sanctions would start. The Chief Secretary Vijay Singh, Vice Chairman of the Narmada Valley Development Authority Ranvir Singh and senior officials were present. PCPs set up in 88 industrial units Bhopal, June 13 In order to generate a pollution free environment in and around the industrial areas, water treatment and air pollution control devices and plants were installed in 88 industrial units in the state during the last financial year 2004-05. Of these, 21 major and medium industries and nine small scale units got set up water treatment plants while 11 major and medium industries and 47 small scale units got installed air pollution resistant equipments in their units. Plantation of saplings numbering 50,000 was also undertaken in the industrial areas during the period. In this direction, work of water treatment plant was completed at a cost of Rs. one crore 25 lakh in the Govindpura Industrial Area of Bhopal. This plant enables a number of small scale industrial units of the area to jointly treat the polluted water being discharged by them. It may be mentioned that Madhya Pradesh Pollution Control Board is working as a nodal agency for this purpose in the state. It has also been made mandatory for new industries coming up in the state to undertake plantation before they set up their units. Rs 4.46 cr special project for Aonla farming Bhopal, June 13 A special project, amounting to Rs 4.46 crore chalked out by the State Government for high quality farming of `Aonla' in the districts of Gwalior and Balaghat has been approved by the Government of India. Under the special project, high quality `Aonla' production would be started in both these districts. Besides, marketing of Aonla and its produce would also be ensured. The project amount would be provided to the district Panchayats concerned while the project would be implemented through Madhya Pradesh Minor Forest Produce Federation. Out of the total amount, Rs 2.40 crore have been earmarked under the labour component. The state government is contributing 25 per cent of its share from the Swarn Jayanti Self-Employment Scheme. An amount of Rs 1.40 crore has already been sanctioned as the first instalment.

SOURCE : Central Chronicle, Tuesday, June 14, 2005