Government decides to scrap NTPC hydel project on Bhagirathi river

Article Courtesy: The Economic Times

Keeping religious sentiments and environmental concerns in view, a Group of Ministers (GoM) on Friday scrapped the NTPC's controversial 600 MW Loharinag Pala hydel project on Bhagirathi river in Uttarakhand.Headed by Finance Minister Pranab Mukherjee, the GoM in a meeting made a detailed re-examination of the project and recommended that the hydro-power dam, the work on which had been under suspension for sometime, should be scrapped.

"A technical panel would be set up to recommend specific safeguard measures to be undertaken to protect the environment and to maintain the fragile eco-geological balance in the area," said Union Power Minister Sushilkumar Shinde, who is one of the members of the GoM.

The fate of the project had been hanging in balance for the last few years with the government doing a flip-flop -- first deciding to suspend the work and then partially resuming construction citing huge financial cost given that it had already incurred Rs 700 crore on the project.

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