Inception ceremony for Rs 140 cr Sikkim Power Sector Development Project held in Gangtok

ISABELLA GURUNG

GANGTOK,: The inception ceremony of Sikkim Power Sector Development Project was organized by State Power department at Samman Bhawan here today.

The Sikkim Power Sector Development Project will support the government of Sikkim in strengthening its power system network to meet future electricity demand growth and to improve the quality and reliability of power supply to its consumers, while facilitating efficient utilization of the State’s hydro power and renewable energy resources.

Chief Minister P.S. Golay attended the event as the chief guest. The ceremony had the presence of Power department advisor & MLA Sanjeet Kharel, Asian Development Bank (ADB) energy sector office director Sujata Gupta, along with officials of ADB, Power department, All Sikkim Government Contractors Association, other concerned departments, etc.

The Chief Minister extended a warm welcome to the officials from ADB, and extended gratitude to ADB, Power department and officials for their support in sanctioning the Sikkim Power Sector Development project.

“The Sikkim Power Sector Development project is a significant milestone for our State and it will go a long way in addressing the electricity needs of our citizens, providing uninterrupted, high-quality electricity, and fostering sustainable economic growth in Sikkim. The project is a key to achieving the goal of providing 24x7 quality power to consumers, reducing the AT&C losses to below the national average, and eliminating the ACS-ACR gap,” he said.

Golay extended gratitude to the Government of India and promised that the State government would remain dedicated to successfully meet the targets and contribute to the Central government’s vision.

“The State government is fully committed to the overall development of Sikkim. Our vision for Sikkim is rooted in progress, harmony, and the wellbeing of the citizens. A well-developed infrastructure is a foundation for the future, and this project is integral to that foundation. The State government focuses on the three pillars of Bi-Pa-Sa, viz. electricity, water and roads, which are essential to achieve the vision of a sustainable developed Sikkim. This project is a crucial step towards fulfilling the promise of providing these essential services to all. We are determined to make Sikkim a Net Zero State. We look forward to ADB’s continued support in realizing these initiatives, which will enhance the stability of Sikkim. We look forward to deepening our partnership with ADB to together build a brighter and a prosperous future for Sikkim,” expressed CM.

The brochure of the project was officially unveiled by the Chief Minister.

Sanjeet Kharel thanked the CM for his unwavering support and for guiding the Power department and ADB for the support and approval of the project. “Sikkim has made a remarkable strike in every field. The State government has fully committed to ensure the success of the project, with a high standard of quality.  This project will help strengthen power distribution in Sikkim, which is a fundamental pillar for the growth of Sikkim. The project will benefit every sector and State economy,” he said

A brief report on the project was delivered by ADB project director from Power department Jigmey Namgyal.

“With a project cost of US$186 million (Rs 140 crores), the financial plans are Rs 1229 crores as ADB loan, Rs 311 crores as counterpart financing from the State government and for this project, advance mode of disbursement has been allowed which is of immense importance to the State. The project will modernize the State’s electricity distribution system, support financial efficiency, technology and community development interventions,” he said.

The objectives of the project are to modernize and climate-proof the electricity grid to provide uninterrupted access of quality electricity to households, industries, businesses and the public; upgrade the electricity grid to facilitate efficient transfer and integration of renewable energy; and synergize with the Government of India’s RDSS to improve operational efficiency and financial stability of the distribution business of the State.