Project News Detail
| Project No : | 170386 |
|---|---|
| Project Title : | Plans To Hydropower Project In Jammu Kashmir |
| Company Name : | Hindustan Construction Co |
| Project Detail : | There is no headway in the construction of 93-MW New Ganderbal hydropower project as the executing agency — Hindustan Construction Company (HCC) — has not turned up to sign the contract even after bagging the contract in June Officials of the State Power Development Corporation, which owns the project, attributed the delay to the queries raised by the HCC regarding the impact of the Goods and Service Tax (GST) on the contract. However, hydropower experts say the HCC is going through a financial crunch and the company lost “quite a few contracts” recently After nearly two decades of delay, the J&K Cabinet on June 16 approved to hand over the New Ganderbal power project to the HCC. Subsequently, the State Power Development Corporation asked the HCC to sign the contract and also submit the performance bank guarantee “The HCC had raised the queries regarding the impact of the GST on the contract. It has committed to sign the contract in November after we replied to their queries,” power corporation managing director Shah Faesal told The Tribune However, experts say the HCC is facing liquidity crisis and under the garb of the GST, was buying time to manipulate the execution of the work. “There are several problems, worse off if the contract is signed. The HCC faces a serious financial crunch and its quite a few contracts have been terminated because of non-performance,” said Iftikhar Drabu, an expert on hydropower The National Highways Authority of India (NHAI) has barred the HCC to bid for PPPs till March 30, 2020, and from Engineering, Procurement and Construction (EPC) projects till March 30, 2019, while the NHAI has terminated its four-lane project in West Bengal The New Ganderbal hydropower project was conceived in the late 80s as a run-of-the-river project on the left bank of River Sindh, a tributary of the Jhelum, in central Kashmir’s Ganderbal district The project is proposed to be funded by debt:equity ratio of 70:30 at an estimated completion cost of Rs 1264.83 crore. The run-of-the-river power project will be built in four years on the EPC mode |
| Project Location : | Srinagar - Jammu-kashmir - India |
| Project Estimation : | Refer Document |
| Status : | Announced |