The government approved Rs 4,754.42-crore scheme for strengthening power transmission and distribution in Arunachal Pradesh and Sikkim, a decision that will help in significantly reduce electricity losses while being supplied. The Cabinet Committee on Economic Affairs (CCEA), approved the scheme, an official statement said.
Power Minister Piyush Goyal said: "The current transmission and distribution (T&D) losses in the North-East are quite high, but with this strengthening I am sure these losses will certainly come down."
The current installed power capacity of Assam, Arunachal Pradesh, Meghalaya, Manipur, Mizoram, Tripura, Nagaland and Sikkim is 4,364.07 MW. The current T&D loss in these states is 50 per cent of supply.
"This (scheme) will certainly bring it down, I cannot off the cuff the give the number," Goyal added.
The CCEA approved a scheme for strengthening power transmission in Arunachal Pradesh and Sikkim at an estimated cost of Rs 4,754.42 crore.
"The intra-state transmission and distribution systems in the Northeastern states are very weak. Presently, 5 out of 20 districts in Arunachal Pradesh are connected to the transmission network," the official statement said.
It is necessary to strengthen the power transmission for proper voltage management and lower distribution losses in both the states.
The project would be implemented by Power Grid Corporation with its consultancy fee of 12 per cent of the execution cost.
After commissioning, the projects would be owned and maintained by state governments.
The DONER (Ministry of Development of Northeastern Region) has conveyed its inability to finance the project due to budgetary constraints, the statement said, adding that it will now be taken up through a central sector scheme under Ministry of Power.
The project is to be implemented within 48 months from the first fund release to Power Grid Corporation.