Rio lays Nagaland State Power Policy 2018

To achieve 24X7 power for all by 2021

Our Correspondent

Kohima | February 26


Nagaland’s chief minister Neiphiu Rio today laid the Nagaland State Power Policy 2018 at the third session of the 13th Nagaland Legislative Assembly (NLA) here.


The vision statement stated that the department of power has realized that power being the engine of growth of any developing economy and that no major economic activity can sustain without adequate and reliable, the department has decided to come out with a power policy to turn around the department of power from a heavy loss making sector to a profit making one in the shortest possible time, introduce the latest state-of-the art technologies to modernize the power distribution, transmission and generation systems.


The objective of the state power policy is to build up adequate capacities in generation, transmission and distribution infrastructure to attain energy security and handling and to achieve 24X7 power for all by 2021.


To bridge the demand and availability gaps, the state government shall explore additional power purchase through PPA from the upcoming generation projects for long term and bilateral/energy exchange etc. as short term measure.


The policy also aim to renovate and modernize the existing assets to achieve optimum utilization and quality power supply, to reduce high AT & C loss to achieve commercial viability through process of reforms & restructuring, which will include unbundling, corporation and communitization, to modernize power distribution system which is the most challenging sector to achieve commercially sustainability, to create infrastructure to meet the industrial demand and for the dedicated infrastructure shall be created, to promote conservation of energy through awareness campaign, use of energy efficient appliances and inculcate energy saving habits.


The policy aim to promote High Voltage Distribution System in urban areas, to build up capacity, skill upgradation and training of personnel, to adopt IT enabled services in all possible areas, to establish an entity to speed up power generation in the state and to strive towards ensuring minimum financial support for Operation & Maintenance of Power infrastructures and also towards revenue surplus performance in operations of the department of power.


The policy stated that the state will strive to add generation capacity to meet 20% of total power requirement by 2021.


The state government shall set up a state generation utility (Nagaland Power Development Corporation Limited- a state government undertaking) to promote/implement the identified projects in the state.


The state generation utility shall also look into the option of joint ventures with other companies, by forming Special Purpose Vehicle (SPV).


The state Hydro/Solar projects will be classified as : Small Hydro/Solar Projects (up to 25 MW), Medium Hydro/Solar Projects (Above 25 MW and upto 100 MW) and large Hydro/Solar Projects (above 100 MW).


All projects shall be awarded through competitive bidding/e-tendering or joint venture route.


The state government shall facilitate land acquisition/transfer/lease for project implementation.


Government of Nagaland realizes the importance of new and renewable sources of energy and shall endeavor to get the maximum benefit out of the new and renewable sources of energy which are clean and eco-friendly, the policy stated.


The cabinet directed that single window clearance for power project may be done and free power may be made negotiable.


The cabinet also directed that the department should encourage gas/thermal generation in the state in a limited way.


As part of action plan, Nagaland State Power Policy 2018 shall be implemented through appropriate action plan packages in coordination with all stakeholders to achieve the policy objectives.




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