Government Rejects GMR Plea to Extend ToR Validity For Hydel Project

The Expert Appraisal Committee (EAC) under the Ministry of Environment and Forests has turned down a request by the GMR Group to extend the validity for preparing terms of reference for a hydel power project being set up in Arunachal Pradesh.

The EAC while refusing to extend the validity of the terms of reference (ToR) also suggested the company to hold public meeting before August 2014.

"The EAC noted that the extension of the ToR validity is up to August 9, 2014, and there are no convincing reasons to consider the case for extension of the validity of ToR for the project at this stage.

"There is sufficient time to hold public hearing by APSPCB before August 2014. Therefore, the committee did not consider the case fit for extension of the validity of ToR at this juncture for Talong HEP (225 MW) in East Kameng district of Arunachal Pradesh," the EAC said in the minutes of meeting held last month.

When contacted a senior official of GMR said they are now gearing up to participate in the public hearing within the expiry of the validity of ToR.

The Arunachal Pradesh government will have to fix date for the public hearing and subsequently inform the public about the same, the official added.

The ToR for Talong project was accorded in 2010 with two years initial validity period that ended in 2012. The MoEF subsequently granted 1 year extension for ToR which again expired in August 2013. Thereafter, the ministry granted further extension for 1 year to facilitate submission of EIA/EMP reports, which end by August 2014.

"The project proponent (GMR) submitted a request for extension of the validity of ToR for one more year with reasons that there is a delay in conducting public hearing by Arunachal Pradesh State Pollution Control Board (APSPCB). The delay is reportedly due to model code of conduct in Arunachal Pradesh because of general elections in the country," the EAC said.

The project to be executed by GMR Londa Hydro Power Pvt Ltd is estimated to cost over Rs 2,000 crore and envisages setting up of 225 MW (375 MW). GLHPPL had submitted the report to CEA in May 2013.

The project will be funded through a debt-equity ratio of 70:30, wherein the equity will come through the internal resources of GMR.

The Group is currently in the process of developing over 2200 mw-capacity hydel power projects including 1500 mw in Nepal.