Azad calls for national revolving fund for power projects

New Delhi, May 28 (UNI) Jammu and Kashmir Chief Minister Ghulam Nabi Azad today made a strong case for setting up of a ''revolving fund'' at the national level to provide assistance to states for speedy creation of hydroelectric projects by involving private partnership in the vital power sector.

Addressing the Chief Minister's Conference on Power here, Mr Azad advocated enhancement of free power share from 12 per cent to 25 per cent, saying this will go a long way in meeting power requirements of the states.

The Chief Minister said the policies of the Centre should be flexible on issues such as sharing of free power.

''It is currently capped at 12 per cent, which we feel is grossly inadequate, and should be raised to at least 25 per cent,'' he added.

Mr Azad said the central technical bodies like CEA and CWC should increasingly adopt a promotional role in this regard.

Referring to the power scenario in Jammu and Kashmir, Mr Azad said the state has a hydroelectric potential of nearly 20,000 MW and that ''should be seen as the potential for the entire country, which has to plan for its energy needs to match and stimulate the economic growth''.

''Regrettably, less than 10 per cent of this potential has been exploited,'' he said.

He said Jammu and Kashmir is still emerging from a difficult period of turmoil caused by militancy.

''This not only caused a severe setback to the pace of development, but also led to the destruction of infrastructure and institutions. A major part of our effort now is to rebuild what has been lost,'' he added.

Expressing hope to get continued support of the entire country, Mr Azad said there are legitimate demands for development and services from all areas, especially the rural and remote areas, which have borne the brunt of militancy.

''The Prime Minister is aware of our problems. With his vision, a major part of the Reconstruction Programme of the state stands devoted to the power sector. We are thankful to him and to the Government of India for the support we get.

He said the track record of the institutions (both central and state) has not been encouraging.

''Salal project on river Chenab took about 23 years to complete. Recently, we managed to commission the Dulhasti project after nearly three decades. Other projects with an estimated capacity of over 2,000 MW entrusted to NHPC seven years ago are also witnessing delays and cost over-runs,'' he said.

''This must change, and we need to look at alternative approaches,'' he said.

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