DIMAPUR, MAY 28 (MExN): Addressing the Conference of Chief Ministers on power sector issues at Delhi, Nagaland Chief Minister Neiphiu Rio today said that problems faced by Nagaland needs to be viewed in the light of the unique constraints prevalent in the state. He said that despite being part of the North East region, Nagaland was not endowed with much potential in hydro-electric generation and was almost fully dependent on the Central Public Sector Undertaking (CPSU) generating stations of the region for meeting its requirements. This shortfall in energy availability, Rio said, was a major impediment in promoting industrial development and economic growth in Nagaland which are further faced with the problem of systems constraints, in both transmission and distribution, hampering supply of quality power to consumers. He said that the ‘very small’ plan size was making it difficult for the State Government to adequately meet the requirements of the power sector hence the state was in much need of active hand holding from the Government of India in tackling power-related issues of the State.
Talking of the power shortage faced by the hydro-based CPSU generating stations in the State during lean seasons, Nagaland Chief Minister said that one of the reasons for acute shortage of power in the NE region is due to non existence of the right hydro-thermal mix. Rio made a request for financial and technical support for exploring the possibility of setting up of thermal projects in the State during the current plan, considering the substantial reserves of coal and gas exists in the foothill areas of Dimapur, Wokha, Mokokchung and Mon districts.Rio also requested that funding for completion of this project be provided so that the commitment made by the former Prime Minister is fulfilled. Mentioning the only two hydro potential projects in the 150 MW Tizu-Zungki HEP and the 140 MW Dikhu HEP, Rio requested the support of the Centre for immediate development of these projects.
In order to ensure Greater Competition the business of generation, Rio said that a policy of “Open Access” was being seriously viewed by the Nagaland government for the option of setting up Distribution companies in selected urban areas which have relatively higher business volumes. He however said that the reform initiatives would require massive funding support during the transition period for which the State would have to seek assistance from the Government of India.
In his address, Neiphiu Rio also mentioned of the abnormally high transmission tariff of 35 paisa charged by PGCIL in the North East compared to about 11 paisa and lower in other parts of the country by the same Central Agency which was a major bone of contention discussed at various forums. He said that the NE States should not be made to pay higher tariff on account of lack of proper planning and coordination between the Generating and Transmission Utilities of the Central Sector. He revealed that during the last six years (2000-2006), Nagaland alone has paid an additional Rs. 37.00 crores, which was equivalent to one year’s power revenue collection of the State, to PGCIL on account of the tariff difference alone. “I am sure other North Eastern States would have paid the same ‘penalty’ – for no fault of theirs. It is high time that this discriminatory transmission tariff be immediately rectified with retrospective effect by the Government of India and the problem not left to the regulatory mechanisms like the Central Electricity Regulatory Common (CERC) alone, as this is a matter of policy being wronged to the region”, Rio advocated on the issue.
With a view to promote Decentralized Distributed Generation (DDG), Rio shared that the State Government, besides its own initiative in SHP has set up the Nagaland Empowerment of People through Energy Development (NEPeD) which, Rio said would promote Micro Hydel Projects in rural areas through community participation. He also stated plans for Energy conservation and efficiency under RGGVY with the use of Compact Fluorescent Lamp (CFL) would be incorporated instead of incandescent lamps while providing connection to un-electrified BPL households and reducing of VAT on CFLs to 4%. The Nagaland Chief Minister finally stressed that it was essential to give due importance to points raised by the States in order to ensure positive and meaningful outcomes from this Conference.
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