Himachal Pradesh completes Larji hydel power project

By IANS

Shimla : A 126 MW Larji hydel power project in Himachal Pradesh came into operation Sunday, after chief minister Virbhadra Singh formally inaugurated the three turbines of the dam built on the Beas river, about 250 km from here, in the Kullu Valley.


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The project was to be completed in March 2003 but has taken four more years to complete, with an estimated Rs. 10.27 billion in completion cost, which is almost double the earlier estimates, say officials.

The trial runs of this project have been going on since early this year.

A three-km long traffic tunnel, built on the National Highway 21 (the Kullu-Manali highway), had to be realigned due to the construction of the power project.

The project, built by the Himachal Pradesh State Electricity Board (HPSEB), has been marred by controversies.

A vigilance department’s probe earlier unearthed several irregularities and financial bunglings of the HPSEB officials.

While, the cost per-mega watt rarely exceeds Rs. 5 million in the entire country, at the Larji project it has turned out to be double that amount at Rs. 10 million, making it the most expensive project in the country.

The HPSEB has been supplying electricity at Rs. 3.67 per unit, but at the Larji project the cost of power generation itself is estimated at Rs. 5 per unit.

The HPSEB is also one of the most over-staffed electricity board in the entire country.

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