Shimla: Union power minister RK Singh has agreed to review the issues related to royalty in power projects at the request of Chief Minister Sukhvinder Singh Sukhu, a statement issued here on Friday said. Sukhu called on the Union Minister for Power, New and Renewable Energy and held deliberations about protecting the interests of the state due to the revenue losses likely to be incurred due to deferred royalty in the power projects executed by Satluj Jal Vidyut Nigam Limited (SJVNL) and NHPC Ltd in the state.
The chief minister also requested that power projects should come back to the state after 40 years.
Earlier, the state government had partially amended the energy policy and said that power projects shall give 20 percent, 30 percent and 40 percent royalty to the state for the first 12 years, the next 18 years and the remaining 10 years. The project would revert to the government thereafter, free of cost and free from all encumbrances and liabilities.
The Union Minister agreed in principle that the state should get at least 12 percent minimum royalty and suggested a review of royalty and all other points of concern of the state government by the team of officers from both sides, with the Central Electricity Authority (CEA) as an independent authority so that the state could get its fair share. He agreed to complete the review by January 20, the statement added.
The Chief Minister requested to enhance the installation of smart meters in the state in a phased manner, besides improving the time limit for installation and not linking the same as a precondition for releasing funds for strengthening power infrastructure. The Union minister agreed to the same, as per the statement.