11 August 2014

Population norm for Metro Rail Projects to be reduced to 10 lakhs from the present 20 lakhs


Shri M. Venkaiah Naidu and Shri Piyush Goyal dedicate DMRC’s Solar Power Plant to the Nation

DMRC to scale up renewable energy use to 20 MW of solar power in 3 years
Urban Development Minister Shri M.Venkaiah Naidu today said that keeping in view the growing popularity of and demand for Metro Rail services, government is considering reducing the population norm for financing Metro Projects. He spoke about the need for ‘smart infrastructure’ in urban areas after dedicating to the Nation the 500 MWP Solar Power Plant of Delhi Metro Rail Corporation (DMRC) here today. Minister of Power, Coal and New and Renewal Energy Shri Piyush Goyal was also present on the occasion. The solar power plant, meant to meet part power needs of Dwarka Sector-21 Metro Station was switched on remotely using web link at Metro Bhawan.

Shri Naidu further said that National Urban Transport Policy, 2006 is under review keeping in view the imperative need for improving public transport services in urban areas in the context of growing urbanization and attendant challenges. He said that at present, central government is financing Metro Projects in towns/cities with a population of 20 lakhs and above and this norm is proposed to be reduced to ten lakhs.

Underlining the need for ensuring ‘energy security’ of the country through reduced dependence on oil imports, both the Ministers referred to the need to scale up speedily renewable energy use through promotion of appropriate technologies based on Prime Minister’s dictum of ‘Speed, Scale and Skill’.

The Ministers’ unveiled DMRC’s Solar Power Policy of DMRC which seeks to reach a level of renewable energy use of 20 MW in the next three years. Shri Goyal said that keeping in view the need and ability of DMRC, this goal be reached in one year.

Shri Venkaiah Naidu who travelled by Air Port Metro Rail Line this morning, complimented DMRC for increasing the ridership on this line by over 30% per month besides reducing operational losses since it took over the line in July, 2013. He said he has been regularly using this line as it affords ‘no stress, no tension’ travel. 

Development Of ADV-USC Technology for Thermal Power Plants as an R&D Project


A new scheme has been introduced in the Union Budget of 2014-15 for `Development of Advanced Ultra Super-Critical (Adv-USC) Technology for Thermal Power Plants` as an R&D Project.

The aim & objective of the scheme is to undertake R&D and other aspects of Adv-USC Technology for Thermal Power Plants in order to improve power plant efficiency (to 45 – 46 %), reduce carbon-dioxide emissions and reduce coal consumption, as well as establishing a demonstration power plant of 800 MW capacity based on the developed technology.

The overall cost of the R&D Phase is estimated to be Rs. 1554 Crore. For the Financial Year 2014-15, the Government has made a budgetary provision of Rs. 100 Crore for the project. 
Initiative to Encourage States to Utilize Wastelands for Setting up Renewable Energy Projects
Government has taken various initiatives which includes setting up of Solar Parks on the banks of canals, Ultra Mega Solar Power Projects, wind power projects for which the States are encouraged to use land including wastelands depending on availability and resources. This was stated by Sh. Piyush Goyal, (Minister of state for Power, Coal & New and Renewable Energy (Independent Charge) in a written reply to a question in the Rajya Sabha today. Further, The Ministry of New and Renewable Energy is providing various fiscal incentive such as generation based incentives, accelerated depreciation, concessional excise and customs duties for the promotion of renewable energy sources in the country. Besides providing financial and fiscal incentives, a few other measures to promote renewable energy include: setting up of demonstration projects, preferential tariff for purchase of power generated from renewable sources, intensive resource assessment, development of power evacuation and testing facilities, introduction of Renewable Energy Certification and Renewable Purchase Obligation, etc. Indian Renewable Energy Development Agency, a Central Public Sector Enterprise under this Ministry, also provides soft term loan for promotion of renewable energy projects.

The Minister further stated that the cost of land in renewable energy projects such as wind farms and solar farms/power plants is of the order of 3 to 5 per cent of total project cost. The new Land Acquisition Act may impact the total cost of renewable energy projects.

The Minister further stated that the Act stipulates payment of compensation and Rehabilitation and Resettlement package as per First, Second and Third Schedule of the Act. Under the Act, time frame has been prescribed during which various processes are to be completed. A draft National Land Utilisation Policy has been formulated which inter-alia proposes Land Utilization Zones for the purpose of ensuring optimal utilization of land resources, the Minister added. 
Grid connected solar power plants of 2596 MW aggregate capacity have been commissioned during the last three years across the country as given below This was stated by Sh. Piyush Goyal, (Minister of state for Power, Coal & New and Renewable Energy (Independent Charge) in a written reply to a question in the Rajya Sabha today.A goal for deployment of grid connected solar power capacity of 20,000 MW by 2022  in three phases has been set under the National Solar Mission  (NSM) as under :

§  Phase-I (till 2013) : 1000 MW
§  Phase-II (2013-17) : 9,000 MW
§  Phase-III (2017-22) : 10,000 MW

            The Minister further stated that an aggregate capacity of 1686 MW of grid connected solar power plants was commissioned by end of  NSM Phase-I, and further capacity of 1000 MW has been added during NSM Phase-II  as on 30.06.2014, taking the total solar power generation capacity in the country to 2686 MW as on 30.6.2014.

Promotion of Clean Coal Technologies


                                    Coal washing is one of the practices being promoted as a measure to encourage clean coal technologies and Coal India Limited (CIL) is in the process of setting up sixteen   new coal washeries with a total throughput capacity of 92.1 million tonnes per year through global tendering process.  The construction has already started in 3 washeries. This was stated by Sh. Piyush Goyal, (Minister of state for Power, Coal & New and Renewable Energy (Independent Charge) in a written reply to a question in the Rajya Sabha today.

The Minister further stated that there are a few research projects supported under Science & Technology ( S&T) Grant of Ministry of Coal and Research & Development (R&D)  fund of Coal India Ltd, to promote Clean Coal Technologies, as given below:

1.   Coal Bed Methane (CBM):
(i)                 Coal Bed Methane Recovery and Commercial Utilization
(ii)               Development of optimization of CBM recovery process for CO2  sequestration
(iii)             Analysis of in-situ stress for CBM exploration in Jharia Coalfield
(iv)             Delineation of viable coal mine methane (CMM) /abandoned mine methane (AMM) blocks in the existing and would be mining areas having partly distressed coal  in virgin coal seams
(v)               Exploration of CBM in deep seated coal deposits of Jharia and Raniganj Coalfields
(vi)             An investigation on adsorption characteristics of Indian coal
(vii)           CBM reserves estimation for Indian Coalfields
2.   Shale Gas:
(i)     Assessment of prospect of shale gas in Gondwana basin with special reference   to CIL areas.
(ii)   Shale gas potentiality evaluation of Damodar basin of India.
         3.   Coal Liquefaction:
(i)        Development of indigenous catalyst through pilot scale studies of Coal-to-Liquid (CTL) conversion technology.
         4.   Coal Beneficiation:
(i)        Demonstration of coal dry beneficiation system using Radiometric Technique.
(ii)      Demonstration of Cost effective Technology for dry beneficiation of coal by Allair Jig.
(iii)    Development of an On-line coal washability analyser.
(i) An MoU was entered into by MoC with US Energy Protection Agency (USEPA) on 16 November, 2006 for establishing coal bed methane (CBM)/coal mine methane (CMM) Clearing House in India. Accordingly, the CBM Clearing House was established at Central Mine Planning & Design Institute (CMPDI), Ranchi in November, 2008. The objective of the Clearing House was to undertake activities to support the mitigation of Greenhouse Emissions from coal mines in India and to act as a repository of methane based information in the country and facilitate formulation of projects for utilization of methane recovered from mines.

(ii)        A Memorandum of Understanding was signed on 3rd October, 2008 between New Energy and Industrial Technology Development Organization of Japan (NEDO), the Ministry of Finance, Department of Economic Affairs, Government of India (MOF/DEA), the Ministry of Coal, Government of India (MOC) and Monnet Ispat & Energy Ltd. (MIEL) for joint implementation of a model project for implementation of highly efficient pilot coal preparation technology project for setting up a coal washery with a raw coal throughput capacity of 2.2 million tonnes per annum in Angul District, Block Chhendipada, Odisha.

(iii)       Two Studies were instituted by European Union under Energy Dialogue on washability of low volatile medium coking coal; and on exploitation of steeply inclined seams in North Eastern Coalfields of India.

(iv)       CMPDIL has entered into an MoU with the Commonwealth Scientific and Industrial Research Organization of Australia on June 2013 for cooperation in research in various technology related areas including 3D seismic survey for coal exploration, Drill hole geophysical logging and data analysis, Underground mine ventilation, Mine gas capture and utilization, Mine fire prevention and control, Underground strata control, Pit wall and overburden dump stability, Coal quality control, Coal cleaning and preparation, Coal to liquids technology, Coal performance impacts on coal gasification and related syngas technologies, Coal blending for combustion and gasification applications, coal mineral matter, ash and slag properties and their management and utilization, Underground mining technologies and Mine reclamation and rehabilitation, the Minister added

Ebola Virus Disease

Ebola virus disease (EVD), formerly known as Ebola hemorrhagic fever, is a severe, often fatal illness in humans.EVD outbreaks have a case fatality rate of up to 90%.EVD outbreaks occur primarily in remote villages in Central and West Africa, near tropical rainforests. The virus is transmitted to people from wild animals and spreads in the human population through human-to-human transmission. Fruit bats of the Pteropodidae family are considered to be the natural host of the Ebola virus.
Ebola first appeared in 1976 in two simultaneous outbreaks, in Nzara, Sudan, and in Yambuku, Democratic Republic of Congo. The latter was in a village situated near the Ebola River, from which the disease takes its name. Although non-human primates have been a source of infection for humans, they are not thought to be the reservoir but rather an accidental host like human beings.
Transmission
Ebola is introduced into the human population through close contact with the blood, secretions, organs or other bodily fluids of infected animals. In Africa, infection has been noticed among those handling infected chimpanzees, gorillas, fruit bats, monkeys, forest antelope found ill or dead or in the rainforest. Ebola then spreads in the community through human-to-human transmission, with infection resulting from direct contact (through broken skin or mucous membranes) with the blood, secretions, organs or other bodily fluids of infected people, and indirect contact with environments contaminated with such fluids. Men who have recovered from the disease can still transmit the virus through their semen for up to 7 weeks after recovery from illness.
Health-care workers have frequently been infected while treating patients with suspected or confirmed EVD when infection control precautions are not strictly practiced.

Signs and symptoms
EVD is a severe acute viral illness often characterized by the sudden onset of fever, intense weakness, muscle pain, headache and sore throat. This is followed by vomiting, diarrhoea, rash, impaired kidney and liver function, and in some cases, both internal and external bleeding. The incubation period, that is, the time interval from infection with the virus to onset of symptoms, is 2 to 21 days.

Diagnosis
Before a patient is diagnosed as infected with EVD, one should rule out malaria, typhoid fever, shigellosis, cholera, leptospirosis, plague, rickettsiosis, meningitis, hepatitis and other viral hemorrhagic fevers like dengue, yellow fever and kyasanur forest disease etc.

Vaccine and treatment
There is no specific treatment nor is any licensed vaccine for EVD available. Several vaccines are being tested, but none are available for clinical use. Severely ill patients require intensive supportive care. Patients are frequently dehydrated and require oral rehydration with solutions containing electrolytes or intravenous fluids.

Prevention and control
No animal vaccine against this is available. Routine cleaning and disinfection of pig or monkey farms (with sodium hypochlorite or other detergents) should be effective in inactivating the virus.
If an outbreak is suspected, the premises should be quarantined immediately. Culling of infected animals, with close supervision of burial or incineration of carcasses, may be necessary to reduce the risk of animal-to-human transmission. Restricting or banning the movement of animals from infected farms to other areas can reduce the spread of the disease.

As this viral outbreak in pigs and monkeys have preceded human infections, the establishment of an active animal health surveillance system to detect new cases is essential in providing early warning for veterinary and human public health authorities.

In the absence of effective treatment and a human vaccine, raising awareness of the risk factors for Ebola infection and the protective measures individuals can take is the only way to reduce human infection and death.

India and EBOLA

There is a risk the deadly virus could be imported into the country if the large population of Indians working in the four affected West African nations returns. There are nearly 45,000 Indian nationals living and working in Guinea, Liberia, Sierra Leone and Nigeria - where an outbreak of the disease has killed 932 people. While the risk of Ebola virus cases in India is low, preparedness measures are in place to deal with any case of the virus imported to India. Government has advised against all non-essential travel to the four countries, and authorities will screen travelers who originate from or transit through affected nations, and track them after their arrival in India.
The government will also set up facilities at airports and ports to manage travelers showing symptoms of the disease. State authorities have been instructed to designate hospitals with isolation wards for response to possible cases and to stock personal protective equipment.

Misunderstanding secularism


Speaking as the chief guest at a conference at Gujarat University’s convention hall on August 2, Supreme Court judge Justice Anil R. Dave said, “Had I been the dictator of India, I would have introduced Gita and Mahabharata in Class I. That is the way you learn how to
live life. I am sorry if somebody says I am secular or I am not secular.But we have to get good things from everywhere.”
These words reflect some of the current misunderstandings about Indian secularism. It is in consonance with Indian secularism to borrow “good things from everywhere”, including the Gita and the Mahabharata. This “ism” does not imply the secularisation of society. On the contrary, whereas French laïcité involves a clear separation between public and religious spaces, far from excluding religion from the public sphere, Indian secularism officially recognises all faiths, as evident from the Constitution and its implementation in the first decades of the Indian republic.
Jawaharlal Nehru himself wrote in 1961: “We talk about a secular state in India. It is perhaps not very easy even to find a good word in Hindi for ‘secular’. Some people think it means something opposed to religion. That obviously is not correct. What it means is that it is a state which honours all faiths equally and gives them equal opportunities.” Sarvepalli Radhakrishnan, president of India when Nehru was prime minister, expressed a similar vision in these eloquent terms: “When India is said to be a secular state, it does not mean that we as a people reject the reality of an unseen spirit or the relevance of religions to life or that we exalt irreligion. It does not mean that secularism itself becomes a positive religion or that the state assumes divine prerogatives. Though faith in the supreme spirit is the basic principle of the Indian tradition, our state will not identify itself with or be controlled by any particular religion.”
The specificity of Indian secularism transpires clearly in these quoted passages. Far from being areligious, irreligious or anti-religious, this principle is, on the contrary, perfectly compatible with religiosity. But, recognising the importance of religion in the public space, the state intervenes in favour of all religious communities. It thus subsidises all kinds of religious activities, including pilgrimages for Sikhs (to Pakistan) and Hindus (like the one to Amarnath in Jammu and Kashmir). The state also subsidises major religious celebrations such as the Kumbh Melas. The one in 2001, for instance, cost Rs 120 crore. Since 1993, Indian pilgrims to Mecca have been largely state-funded, too.
This multicultural approach has been recently illustrated in the way President Pranab Mukherjee hosted an iftar party towards the end of Ramzan, soon after publicly offering prayers at the Padmanabhaswamy temple.
This rather unique configuration is the product of a long history. Its immediate antecedentcan be found in the words and deeds of Mahatma Gandhi, who advocated the recognition of religious communities in the public space and their cohabitation as early as 1919, during the Khilafat Movement in which he joined forces with Muslim leaders. Subsequently, he tried to make the Congress party a “parliament” in which all denominations were represented. In Hind Swaraj (1909), he promoted a conception of the Indian nation that ruled out identifying the nation with any religion: “If the Hindus believe that India should be peopled only by Hindus, they are living in dreamland. The Hindus, the Mahomedans, the Parsis and the Christians who have made India their country are fellow countrymen, and they will have to live in unity, if only for their own interest. In no part of the world are one nationality and one religion synonymous terms; nor has it ever been so in India.”
Beyond Gandhi’s contribution, going further back in time, emperor Akbar practised religious tolerance. During his rule, Islam had
a limited place in the state apparatus, in which several communities other than the Muslims participated. This modus operandi was already in existence under the reign of Ashoka. While he worked for the glory of Buddhism with the fervour of a new convert, this emperor also advocated coexistence of religions and mutual respect.
Like Justice Dave, these architects of Indian secularism thought that they had “to get good things from everywhere”, including the Gita, the Quran, the Bible, etc. For them, the question of teaching one religion alone never arose. The fact that it does today is revealing of the way Hindu majoritarianism is gaining momentum. This view clearly contradicts the Constitution because it implies the non-recognition of all religions on an equal footing. Freedom of conscience, speech and worship was written into the Constitution through a number of articles having convergent effects. Article 15 forbids discrimination on religious grounds (among others); Article 16 applies this rule to recruitment in the civil service; Article 29 to admission to a public school or receiving state aid. Most especially, Article 25 states: “Subject to public order, morality and health… all persons are equally entitled to freedom of conscience and the right freely to profess, practise and propagate religion.”
In addition to these individual rights, there are collective rights — the Indian state not only recognises no official religion and protects citizens from having to pay religious taxes, but it also gives each religion equal consideration. Article 26 stipulates: “Subject to public order, morality and health, every religion, religious denomination or any section thereof shall have the right: (a) to establish and maintain institutions for religious and charitable purposes; (b) to manage its own affairs in matters of religion; (c) to own and acquire movable and immovable property; and (d) to administer such property in accordance with law”. Article 30 reads similarly: “All minorities, whether based on religion or language, shall have the right to establish and administer educational institutions of their choice.” In awarding aid to educational institutions, thestate must in no way discriminate against those administered by a religious or linguistic minority. It is worth noting that the importance given to collective rights by Indian secularism is one of its trademarks, as is its correlative respect for the role of religions in the public space.
If India was to discontinue this tradition and replace it with Hindu majoritarianism, it would embark on the same trajectory as its neighbours — except Nepal, where secularism has recently become the order of the day. The past experience of the other countries of South Asia shows that minorities have been the first casualties of the erosion of secularism, regardless of the majority religion. Hindus, as a minority, have been at the receiving end in Sri Lanka, Pakistan and Bangladesh where religious conflicts have resulted in violence

How to manage uncertainty,financial sector

A transparent monetary policy has a clearly defined goal like price stability. In the case of India, the RBI came out with a new monetary policy framework in January 2014, anchoring for an inflation (CPI-based) target of 4.0 per cent with a band of plus/ minus 2.0 per cent. It has also proposed to bring the targeted CPI (consumer price index) inflation down to 8.0 per cent by January 2015 and 6.0 per cent by January 2016, before bringing it down to 4.0 per cent in three years. The adoption of such a rule-based framework has made the monetary policy exercise highly transparent for India. In fact, in every bi-monthly policy statement, the RBI tries to show the degree of consistency between the actual inflation trajectory and its anticipated path.
The credibility of policy is attained when the central bank’s actions are consistent with reaching its monetary policy goal. The easing of retail inflation for two consecutive months, the recent fall in global crude prices, the benign outlook on global non-oil commodity prices and the government’s firm commitment to fiscal consolidation had given rise to the wide-ranging expectation of an easing cycle. Some had wrongly interpreted the RBI’s stance in the June policy as “dovish” because it had said that further policy tightening will not be warranted, if the economy stays on a disinflationary course witnessed during May-June, 2014. However, that was a conditional statement and in June as well as in August, the RBI has clearly warned of several upside risks to inflation on account of adjustments in administered prices, deficient monsoon and its impact on food production, possibly higher oil prices stemming from geopolitical concerns and exchange rate movement, and growth in the aggregate demand. In the latest policy review, the central bank appears to be more concerned about achieving the 6.0 per cent inflation target by January 2016 than achieving the 8.0 per cent target by January 2015. And, therefore, it has suggested a heightened state of policy preparedness to contain inflationary risks. According to the RBI, a lot depends on the government’s actions on food management and timely completion of projects that would set the pace for the supply-side response.
Given these uncertainties, the RBI remains worried about the medium-term sustainability of the disinflation process and, hence, it has chosen to keep the policy rates as well as the CRR (cash reserve ratio) unchanged on August 5, 2014.
While “pessimistic” on the inflation front, the RBI appears to be quite confident about the evolving growth trajectory. This confidence stems from the improved performance of exporting industries, ongoing revival of investments, unlocking of stalled projects, government’s commitment to fiscal consolidation and its favourable impact on theprivate sector’s investment expenditures, stabilisation of global commodity prices, etc. According to the RBI, in the absence of any strongly negative surprise from the exogenous factors, an economic growth of 5.5 per cent can be sustained for India during 2014-15.
The other major move in the latest policy review is a cut in the SLR (statutory liquidity ratio) by 50 basis points (bps, from 22.5 to 22.0 per cent of net demand and time liabilities or NDTL), even if there is no significant pick-up in credit demand and the banking industry continues to hold excess SLR securities. In our opinion, this is not just a move to improve liquidity. Rather, it has to be viewed as a long-term reform measure that would improve the functioning of debt markets. As said by the RBI’s Committee on Comprehensive Financial Services for Small Businesses and Low Income Households headed by Nachiket Mor, the SLR as a prudential tool has outlived its utility for both banks and non-bank financial companies (NBFCs), given the much-enhanced emphasis on capital buffers under the new risk-management framework. A high level of SLR in India compared to other emerging markets has distorted not just the interest rate structure but also its usefulness as a signalling mechanism. Moreover, the gradual reduction in the SLR undertaken by the RBI also reflects its confidence in the government’s ability to improve its finances in line with its revealed commitment. This is a strongly positive signal to bond market participants. Of course, given the large supply of government papers in the current month, the said measure may increase volatility in bonds in the short term. But the reform orientation of this measure, combined with appropriate liquidity management by the RBI through term repos of various maturities, should support the bond market sentiment in the medium term. Moreover, this reduction in SLR would increase the resources with banks to extend credit to the private corporate sector by Rs 40,000 crore, once the credit demand picks up.
The RBI also reduced the ceiling for banks’ total holdings of SLR securities in the held-to-maturity (HTM) category to 24.0 per cent of NDTL from 24.5 per cent of NDTL with effect from August 9, 2014. This step is taken to increase banks’ participation in financial markets. This measure may give an opportunity to banks to reduce their HTM holdings as per the market conditions, going ahead. It also means that banks have reduced facility to park securities in the HTM bucket, which, in turn, would force them to value securities at a regular interval and take a hit in the form of mark-to-market valuation, if there is any adverse movement of the security prices. This would promote more disciplined functioning of the banks’ treasury divisions.
Thus, while the primary focus of the policy is on “price stability”, it has touched some critical areas to improve the functioning of the financial markets and support the liquidity conditions for banks.
Given the RBI’s explicitly expressed concern over the inflation outlook from a medium-term perspective,we do not see much scope for the commencement of the easing cycle during the financial year 2014-15.

Prime Minister to Dedicate Two Hydel Power Projects in J&K Tomorrow ; Also to Lay Foundation Stone for Leh-Kargil-Srinagar Transmission System


The Prime Minister Shri. Narendra Modi will dedicate to the nation tomorrow two hydel power projects in Leh and Kargil in Jammu & Kashmir .  These projects are the 44 MW Chutak hydroelectric project in Kargil district and the 45 MW Nimoo Bazgo project in Leh district. The  Prime Minister would also lay foundation stone for the first power transmission line from Leh to Kargil and Kargil to Srinagar.

45 MW Nimoo-Bazgo Hydro electric  Project
The 45 MW Nimoo-Bazgo Hydro electric Project is a Run of the River scheme to harness the potential of river Indus in Leh district of Ladakh region of Jammu & Kashmir. The project is designed to generate 239 MUs of energy.

         The Nimoo-Bazgo power station is located on river Indus in Leh district of Ladakh region of Jammu &Kashmir. The Power station comprises of a 57m high concrete gravity dam, 3  intake structures on the power dam portion on right bank for diversion of water through 3.3 m diameter steel penstock of about 55.0 m long, a surface power house located at the toe of the dam on right bank and a short tailrace channel.  The power house has an installed capacity of 45 MW (3 x 15 MW).

         The approval for the project was accorded on 24.08.2006 by Govt. of India at the estimated cost of Rs. 611 Crore . However, on account of escalation, statutory charges and higher cost of award, project cost has now been revised to Rs 985 crore. The Composite tariff of Nimmo Bazgo power station is Rs. 6.33 per unit for year 2013-14. All the units were commissioned at available load in June 2013, commencing commercial operation in October 2013 and beneficiary state for 100% share is Jammu &Kashmir.

44 MW Chutak hydroelectric  Project
            The 44 MW Chutak hydroelectric  Project is located in Kargil District of Jammu & Kashmir. Barrage site is located about 14 km upstream of Kargil near village Sarzhe. The project is a run-off-river scheme on the river Suru, to generate 216 MU in a 90% dependable year having installed capacity of 44 MW (4 x 11 MW) utlising a rated head of 52m developed by construction of a 15.0 m high barrage and through 4780 m long 5.9M dia horse shoe shaped Head race tunnel. Chutak Project involves construction of 15M high and 47.5M long barrage near village Sarzhe  and an underground power house on right bank of river Suru. The Power house & barrage sites are 9Km and 15Km away respectively from Kargil, on Kargil Zanskar road.The approval for Chutak project was accorded on 24.08.2006 by Govt. of India at Rs. 621 crore . However, on account of escalation and statutory charges, Project Cost has now been revised to Rs. 894 Crore. The Composite Tariff of Chutak Power Station is Rs. 6.26 per unit for year 2013-14. Power generated from Project is being supplied to Kargil District of Ladakh region of J&K.

Leh-Kargil-Srinagar Transmission System
            The Power Grid Corporation of India the central transmission utility under Ministry of Power, Government of India, is implementing the Leh-Kargil-Srinagar Transmission System for connectivity of Leh/ Kargil area in Ladakh  with Northern Region Grid at 220kV level for meeting demands of the Ladakh region.

            Leh-Kargil-Srinagar Transmission System includes 375 km Transmission line at 220kV voltage level from Alistong (Srinagar) to Leh via Kargil with four 220/33kV Sub-stations at Drass, Kargil, Leh and Khalsti. This transmission system shall be able to facilitate availability of power of about 100-150 MW in the Ladakh region.

            Ladakh region of Jammu and Kashmir, of about 56,000 sq km area, comprising of Leh and Kargil districts, covers about 70% of the total area of Jammu and Kashmir region and is one of the highest inhabitation in the world with an elevation of 2400m to 4500m above sea level. The difficult terrain has left Ladakh region isolated with no electrical connectivity with the rest of the National power grid. The power demand of the area is met by some local small micro Hydel (14 MW) and diesel generators (12 MW). The region is experiencing an energy shortage of about 95%.This transmission system shall be able to feed about 100-150 MW to Ladakh Region.
            The Prime Minister Shri. Narendra Modi had last month inaugurated the 240-Megawatt Uri-II Hydro Electric Project (HEP) located near the Line of Control (LoC) in Baramulla district of Kashmir.

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