Srinagar: The Jammu and Kashmir administration on Wednesday said it would liquidate the liabilities, including interests in the power sector, by raising over Rs 11,000 crore under the Atmanirbhar Bharat Abhiyan.
The decision was taken at the meeting of Jammu and Kashmir Power Corporation Ltd’s board of directors (JKPCL).
An official spokesman said Power Development and Information Departments Principal Secretary Rohit Kansal, who is also the managing director of JKPCL, on Wednesday chaired the 4th board meeting of the Corporation at Civil Secretariat here.
The board held a detailed discussion on infusing the liquidity into power distribution companies (discoms) besides other impediments faced by the Corporation for effective service delivery to the public, the spokesman said.
He said the board also discussed in detail the plan for utilising the component of funds received under the Atmanirbhar Bharat Abhiyan, besides road map for implementing various features enumerated for the power sector in this self-reliant India campaign.
The board decided to raise over Rs 11,000 crore for liquidating the power liabilities accrued till June 2020 under the Atmanirbhar Bharat Abhiyan, he said.
This measure is going to relieve the department of the liabilities and interest accruing from it and infuse new lease of life into its subsidiary companies constituted after disbundling of the power department, he said.
The spokesman said the board also approved for engagement of a company secretary for managing activities and other financial affairs of the Corporation for a period of six months initially for managing the affairs of the Corporation professionally.
The board also approved the appointment of new members into the board as directors.
In another move, the spokesman said, the department also requested the central government for enhancing the allocation of power supply for winter months, as the region faces a deficit of 1,200-1,400 megawatts (MWs) during that period.
The department asked for an additional 1,500 MWs for meeting the demand of extra power supply from thermal and gas power plants, he said.
The department has enhanced its handling capacity to a greater extent, as a network of grid stations has been inaugurated during the current year, the spokesman said.