Friday, July 13, 2007

Sikkim Government Rejects ACT Protests On Power Projects


Government of Sikkim's Statement on Hydel Policy


Government has initiated to develop Hydro-Electro Power for the sustainable economic development of the state.


Gangtok, 12 July

Sikkim is endowed with abundant hydro-potential which is estimated to be around 8,000 MW and therefore, the State Government has initiated to develop Hydro-Electro Power for the sustainable economic development of the state. All out support and cooperation from all sections of society is solicited towards this reform process. However, there seems to be some apprehensions in the minds of small section of the society about the Hydro Electro Power Projects. The State Government has been treading the path very cautiously. In spite of Government of India’s preference for multi purpose large dam storage type hydel projects, the State Government has stuck to run of the river type of hydel projects. The world over, run of the river project is considered the cleanliest and the most environment friendly source of energy.

In the context of development of hydel projects in Sikkim the following points emerged as major positive factors :­

1. The hydel projects to become the major source of revenue for the State. The State has very limited scope to raise the revenue and the hydel project sector is the best avenue to achieve it. The State Government has negotiated to the best possible bargain from the developers. 12 % of the generated energy is given to the State for the first 15 years which will be raised to 15% after the end of 15th year and at the end of 35th year the projects will be handed over to the State Government free of cost in operating condition.

2. Employment Generation and Business Opportunity : The developers are required to source locally all the skilled, semi skilled and unskilled labours. All the works other than the major structures in the hydel projects shall be awarded to the local contractors. This way employment generation and business opportunities to the local populace are ensured.

3. Local area development : The far flung areas around the project sites mostly located in the remote corner of the State will benefit by way of development activities like road connectivity, schools and primary health centres.

4. Adoption of the villages : The developer of the larger projects are required to adopt one or two villages in the vicinity of the project sites. These villages will be developed by the developer by providing all civic facilities required as per the concept of a model village.


All the above advantages are weighed against the disadvantages the development of hydel projects is associated with.

The apprehensions bothering the minds of section of local people are chiefly the followings :

­a. Demographic change in the project area; it is feared that the influx of people will change the demographic of the project area.

b. The biodiversity of the project area will be disturbed.

c. The young and fragile Himalayan rocks may not be able to sustain the development works associated with such hydel projects. The apprehensions are not completely unfounded. However, steps to mitigate these problems have been addressed amply and have been included as integral part of the project.

a. Influx of people: First preference will be given to the local people for all skilled, semi skilled and unskilled workers. Only when such workers are not available locally the developers are allowed to bring in workers from outside the State. All those who are brought in should be registered and their work permit should be renewed every six months. Such labours have to leave the project sites as soon as their job is done. Residential quarters and colonies shall not be allowed to be set up in Dzongu area. This is a stipulation of the Ministry of Environment while issuing environmental clearance.

b. Preservation of Biodiversity: Environmental impact assessment of each project has been done by experts and they have suggested Environment Management Plan. The developer has to strictly adopt to the stipulations therein.

c. Geological Problems: It is because of the apprehensions related to geology that the State Government has taken a stand that all the projects shall be run of the river type and no big dam shall be constructed. Run of the river will have the advantage of light construction of storage and water conductor system. This will mitigate the geological risk factors.

Conclusion: The State Government has initiated to develop hydel schemes to utilize its available natural resource to attain self-reliance, which will bring about socio-economical upliftment of the Sikkimese people and shall generate adequate revenue for the State to usher it to the 21st century. However, while doing so all possible risks have been sufficiently addressed.