NHPC rules out return of power projects to JK

Srinagar, Mar 8: In a virtual snub to Jammu and Kashmir Government, National Hydroelectric Power Corporation (NHPC) has ruled out return of power projects to the State. 
In an interview with a New Delhi based news channel, Director, Finance NHPC, ABL Srivastava said the Central Government and Union Power Ministry have made it clear in unambiguous words that there is no question of returning these projects to the state.
“The government of India, ministry of power have also clarified more than once that there is no question as of now of reverting these projects to J&K government,” he said, adding that as far as NHPC is concerned, there is no issue of giving these projects to J&K.
Srivastava said that at present there is no issue of transferring the projects to J&K government.
“Whatever decision is taken by the government, we will put up our interest, and company’s interest will be placed before company’s authority before taking any decision,” he, however added.
Pertinently, the demand for return of power projects has become a major issue in JK over the years with political parties, cutting across the party lines, on same page over the matter.
Surprisingly, the issue has been put under cold storage even as the Cabinet Sub Committee, headed by Finance Minister, Abdur Rahim Rather and comprising eight cabinet ministers, had advocated return of two power projects from NHPC— Uri-I and Salal.
While the former PHE Minister Taj Mohiuddin had raised the matter with then Union Power Minister and incumbent Home Minister Sushil Kumar Shinde, no positive result for the state has come out.
Pertinently, the shares of NHPC on Monday fell by as much as 30 per cent on heavy selling even as the hydropower utility said there is no change as far as its fundamentals are concerned which affected the counter.
On NSE, the stock nosedived by 29.92 per cent to Rs 18.15. NHPC shares tanked 25.87 per cent to Rs 17.90 on the BSE.
Following the steep decline in the share price, the company’s market capitalisation got eroded by Rs 5,597 crore to Rs 24,109 crore.
In a clarification to the BSE, NHPC had said, “As far as the fundamentals of the company, there is no change which affects the major price movement. In our opinion, there is no issue in the Finance Bill which has any adverse effect on hydro sector.”