The Energy Task Force headed by UP chief secretary Jawed Usmani on Monday extended the time limit to Isolux Corsan for laying transmission lines. The company is involved in laying transmission lines and construction of power sub-stations.
The final approval in this matter will be given by the Cabinet. Recently the UPPCL had extended the deadline till December 31, 2014, for the first phase of laying the transmission line, and August 31, 2015, for the second phase.
The Energy Task Force on this occasion reserved its decision on giving further extension to the agreement with nine companies. Hence, no decision on the nine power projects could be taken on Monday. The UPPCL had recently in a proposal gave an extension of 18 months to nine power projects signed through the MoU route during the Mayawati regime.
Awadhesh Varma of UP Rajya Vidyut Upbhogta Parishad said Isolux was assigned the task of laying transmission lines in 2011, and it was asked to complete it by January 2014. But, owing to usage of sub-standard conductors, the company came under the scanner and the process of laying transmission lines was delayed. Varma also said that the Parishad will approach the Uttar Pradesh Electricity Regulatory Commission against the decision to grant more time to Isolux.
He also claimed that on earlier occasion too the Upbhogta Parishad had raised the issue with the Uttar Pradesh Electricity Regulatory Commission on the proposal of Isolux to change the configuration of the transmission lines in the Rs 10,000 transmission project. It was only after the UPERC cracked the whip on Spanish Transmission Company that the company agreed to the conditions that it agreed to during the bid process.
Isolux Corsan has been showing interest in installing wires made out of aluminum, termed as All Aluminum Alloy Conductors (AAAC). The company, though, had bid for installation of ACSR conductors instead. Interestingly, in July last year, the Uttar Pradesh Transmission Corporation (UPTCL) had told the commission that the AAAC conductors' line losses will increase by 7% to 11%.
The letter issued by the UPTCL said by using AAAC conductors the company will be saving significantly in the capital cost due to lighter towers, lighter foundation and longer span, which will have a commercial implication on project cost and also on the tariff. The UPPTCL said such post contract changes are not possible as per Central Vigilance Commission guidelines.
The UPERC, in its order dated April 8, said since the conductor type to be used in the transmission line has been associated with ACSR conductor under the scope of work in the bid document, the panel has decided that only ACSR conductors shall be used in the construction of line. The commission also asked the corporation to submit its acceptance of conductors within two weeks from the date of the order under intimation to the commission.
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