The Hindu : Tamil Nadu / Chennai News : Another chance to revive Cauvery hydro project

Online edition of India's National Newspaper
Monday, Jun 19, 2006

Tamil Nadu

Tamil Nadu - Chennai

Another chance to revive Cauvery hydro project

T. Ramakrishnan

Power Ministry calls meet in Delhi on June 21 Though the positions of Tamil Nadu and Karnataka are well known, officials are optimistic that a breakthrough can be achieved now

CHENNAI: The Cauvery Hydro Power Project (CHPP), which had hit several roadblocks, is getting another opportunity to revive itself.

The Union Power Ministry has called a meeting of senior government officials of Tamil Nadu and Karnataka in New Delhi on June 21, besides top officials of the National Hydro Power Corporation (NHPC), which proposed the project eight years ago.

The meeting, to be chaired by the Union Power Secretary, will discuss a draft agreement circulated by the Central authorities. If the States arrive at an agreement, the NHPC will execute the project.

Two power plants

The CHPP envisages two power plants each in Tamil Nadu and Karnataka.

In Tamil Nadu, Hogenekkal and Rasimanal will have the plants of 120 MW and 360 MW while in Karnataka, Sivasamudram and Mekadatu are the sites for plants of 270 MW and 400 MW.

The meeting is being held in the backdrop of the new government assuming office in Tamil Nadu. In a recent interaction, the NHPC authorities had impressed upon the State Government the need to revive the project, official sources say.

Basic dispute

The basic dispute between the States is over sharing power that will be produced from the project.

For a variety of reasons, the project promoter has come to the conclusion that in the initial phase, one power plant each in Tamil Nadu and Karnataka — Hogenekkal and Sivasamudram — will be established.

"Nil submergence"

According to the Central norms, 10 per cent of electricity will be assigned to the Centre as discretionary quota.

Depending on the degree of submergence of land, 12 per cent of power will be assigned to States.

The remaining 78 per cent will be shared between the States by following a Central formula, sources say.

The reason why the two sites have been chosen is because there will be virtually "nil submergence."

The dispute has arisen in the CHPP over sharing power generated at the proposed Sivasamudram plant.

According to Karnataka, the new plant will be an addition to the existing one and the State had invested a lot in creating and maintaining the infrastructure. So, it is not ready to share Sivasamudram power on the basis of the Central formula.

But, Tamil Nadu says that as the plant is part of a new project to be implemented by the Central agency, the principles formulated by the Union Government should be adopted in this case too.

Officials optimistic

Though the positions of the two States are well known, the officials are optimistic that a breakthrough can be achieved now, as there seems to be a congenial political atmosphere.

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