CM presides over meeting of Hydro Electric Power Projects

Chief Minister Jai Ram Thakur while presiding over the meeting regarding issues of Hydro Electric Power Projects (Bonafide Himachali Association) at Shimla today, said that the State Government would sympathetically consider the request of the Independent Power Producers to reduce the interest rates of loans taken by them for construction of mini and micro power projects in the State.

Chief Minister said that presently the State Cooperative Bank was providing loan to the power producers at an interest rate of 10.50 percent, which earlier was 13.75 percent. He said that keeping in view the financial constraints being faced by the power producers, he urged the Bank to sympathetically consider their demand to further lower the interest rate of the loan amount.

Jai Ram Thakur said that the State Government loan term be increased from the existing 30 years to 40 years in order to facilitate the independent power producers. He said that the request of the Independent Power Producers before the Bank to consider One Time Settlement (OTS) or outright sale would be also considered sympathetically.

Power Minister Sukh Ram Chaudhary also urged the Chief Minister to reduce rate of interest on the loans provided by the State Cooperative Bank to facilitate the Independent Power Producers of the State. He said that the issue of converting the un-serviced interest into Funded Interest Term Loan (FITL) at a rate of zero percent interest would also be considered sympathetically.

Additional Chief Secretary Power and Industries R.D. Dhiman welcomed the Chief Minister and other dignitaries present in the meeting and also conducted the proceedings of the meeting.

Chairman State Cooperative Bank Khushi Ram Balnahta said that the Bank would consider decreasing the rate of interest after evaluating its asset liability position.

Secretary Cooperation Dr. Ajay Sharma, Managing Director H.P. Power Corporation Ltd Harikesh Meena, MD HP State Cooperative Bank Ltd. Sharwan Manta and representatives of IPP were present in the meeting.