No royalty taken for NHPC projs running in J&K-Oct 11,2010

No royalty taken for NHPC projs running in J&K

PTI | 04:10 PM,Oct 11,2010

(NHPC HAS ITS WEBSITE AND MUCH NEWS COVERAGE)

Srinagar, Oct 11 (PTI) The Jammu and Kashmir Government today said it was not taking any royalty from the National Hyrdoelectric Power Corporation (NHPC) for its power projects in the state, but had signed a memorandum of understanding (MoU) as equity partners. "Let me clarify this that we are not taking any royalty from NHPC. We have signed an memorandum of understanding (MoU) as equity partners and get 12 per cent share of the power generated from these projects," Public Health Engineering, Irrigation and Flood Control Minister Taj Mohiuddin said in the Legislative Council. Mohiuddin was replying to the points raised by members of the Upper House during a discussion on the New Water Resources Management Bill that envisages levying charges on the usage of water, including the resource used for power generation purposes. Asserting that even the State Government will be charged for its share of water used in power generation, the Minister said the Bill was in response to perpetual criticism of the state that it was not making efforts for resource mobilisation. Admitting that mistakes had been made in the past while, issuing licences for power projects without any specific agreements, Mohiuddin said the new bill will ensure that all the required documents are submitted to the regulatory authority before any fresh licenses are issued. Referring to the MoU signed between the Centre and the State Government in 2000, the minister said he was one of the critics of the agreement, as he had not properly read it. "After going through it (agreement), there is a specific provision for return of these projects, which have been handed over to NHPC for operation and management, to the state," he added. Mohiuddin said the state Government led by Chief Minister Omar Abdullah had begun efforts to work out modalities for return of the power projects to the state as provided in the MoU. The Bill was passed by the State Assembly by a voice vote, after it was introduced for consideration and passed by Mohiuddin on October 09. It will be referred to the Governor for his assent, after which it will become an Act. .