In this regard, the Committee on Natural Resources and Means has asked the Cabinet to formulate guidelines on management of mega projects within the next 15 days. The committee has also asked the Cabinet to initiate the process of hiring additional technical experts at the IB to strengthen its capacity.[break]
Although the Investment Board - founded around four months ago to act as a facilitator for investors - has already appointed a chief executive, it is yet to hire other technical experts. It is also yet to formulate guidelines that outline the process of kick-starting big projects like West Seti.
As per the Investment Board Act enforced around seven months ago, the responsibility of mobilizing resources required to build mega projects and managing them falls in the domain of the Board.
“This also includes hydropower projects over 500MW and the Board should now be in-charge,” Gagan Thapa, member of the committee told the meeting, indicating the national interest would be protected and transparency could be maintained if works related to implementation of the project is handled by the Board.
Radhesh Pant, the chief executive of the Board, who had appeared before the committee last week, had said the body was capable of handling the West Seti Project.
The committee, three weeks ago, had directed the Ministry of Energy to suspend all works related to the West Seti project after reports of massive irregularities in handing over of the project to Chinese power developer Three Gorges Corporation surfaced. At that time, the committee had also said that the memorandum of understanding signed by the energy ministry with Three Gorges on Feb 29 was not transparent and was not in the national interest.
Following this, the committee formed a team to probe the matter.
Based on the team´s report, the committee directed that the West Seti project not only to fall on its promise of generating at least 750MW of electricity but ensure that irrigation facilities are also developed to aid agriculture. It has also recommended that at least 150MW of energy generated by the project be allocated for industrial development of the far-western region.
It has also recommended that the project create a city in the hilly region to house people displaced by the project, and allocate 10 percent shares of the project to investors of the far west and 14 percent to other investors throughout the country.
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