CEA accords highly awaited concurrence to UJVNL

After fumbling in the darkness for the past few months with no big project in sight, the state-run Uttarakhand Jal Vidyut Nigam Limited (UJVN) has finally emerged a winner after being granted the techno economic clearance for the 120 MW Vyasi hydro electric project (HEP) from the Central Electricity Authority (CEA).

The contract has been awarded to UJVNL for a total of Rs 936.23 crore, which includes a domestic component worth Rs 935.57 crore along with a foreign component of US $ 0.143 million.

Having been provided ample funds for the hydel project, the company can now breathe a sigh of relief and resume the works that were left hanging in the middle for the past few years due to severe shortage of funds.

Even though the financial situation has turned around for the better, UJVNL must take utmost precaution and utilize its resources judiciously, since Rs 20.88 crore of the total investment has already been accounted for as payment to NHPC, as part of the Rs 73.07 crore liability after UJVNL took over the 420 MW Lakhwar-Vyasi project and went on to implement the Vyasi project independently. Further, an amount worth Rs 60 crore has already been incurred by the Irrigation Department of Uttar Pradesh for the Vyasi HEP.

The first course of action for the company includes floating tenders for the remaining percentage of works and paying the liabilities to all contractors. Fully aware that there is no safety net to save them this time around from any possible setbacks, UJVNL officials are getting ready to roll up their sleeves and smoothen out any creases that may prove to be a roadblock in the near future for carrying out the project works.