Mohinder Verma
JAMMU, Mar 12: The much-hyped exercise aimed at quantifying the losses suffered by Jammu and Kashmir due to ‘discriminatory’ Indus Water Treaty (IWT) has hit another road-block as the Bid Evaluation Committee of the Power Development Corporation (PDC) has found lack of responsiveness on the part of three companies, which participated in the bids floated for the second time in the middle of last year.
Official sources told EXCELSIOR that the Monitoring Committee headed by Economic Advisor to the State Government, which was constituted to oversee the implementation of various recommendations of the Rangarajan Committee and the Prime Minister’s Working Group on Economic Reforms, had suggested that Power Development Department may commission a qualified organization to quantify losses incurred due to the treaty.
Accordingly, vide Government Order No.107-PDD of 2013 dated April 12, 2013 sanction was accorded for engagement of M/s Halcrow Consulting India Pvt Ltd for quantification of losses. However, the consultant conveyed that since their bid validity had already expired, they were not interested to undertake the study, sources added.
Thereafter, vide letter No.PD/AC/II/05/2013 dated May 31, 2013, the PDC was asked for fresh tenders for the assignment. In response to fresh bids invited for the second time since 2009 when the idea for quantification of losses was first mooted, three multinational companies offered their services for the assignment, sources further said.
They disclosed that the bidders, later, sought replies to queries relating to development of a decision support system, collection of data/related information, reporting requirements, payment conditions and transfer of knowledge etc. Though the replies were furnished to the bidders yet there was no significant development on the issue for several months, sources added.
Now, the Bid Evaluation Committee has found it appropriate to close the bids because of lack of responsiveness on the part of bidding companies, sources said, the Bid Evaluation Committee has asked the PDC to invite fresh tenders for engagement of consultant/consulting firms for quantification of losses suffered by J&K on account of IWT.
Given the prevailing situation, nobody knows when the State Government would be able to complete this exercise as five years have elapsed since the idea of quantifying the losses suffered by State because of this treaty was mooted. This exercise assumes much significance because of the fact that unless projecting exact quantum of losses through a systematic study the Jammu and Kashmir may not be able to stake claim for the compensation.
Under the Indus Water Treaty, there is a restriction on the total storage capacity, which can be created on the river system of Jehlum, Chenab and Indus. Due to this, the Government is forced to consider the hydroelectric schemes as “run of the river” only.
“If the storage was permissible it could have been utilized to store the summer discharge which would have resulted in additional generation capacity particularly during winter months when the demand for power remains at its peak in the State”, sources said, adding the generation goes down to 25 to 30% of the installed capacity during the winter months of October to March.
It is pertinent to mention here that Cabinet Sub-Committee, which was constituted to look into various issues arising out of the terms and conditions of the entrustment of hydroelectric projects to the NHPC, has assessed the losses caused to J&K due to IWT at Rs 18,000 crore per annum.
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