Arunachal hydro projects scam equals 2G: BJP | india | Hindustan Times
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Arunachal hydro projects scam equals 2G: BJP

india Updated: Feb 15, 2011 21:25 IST
Rahul Karmakar

A BJP report evaluating the Congress governments in the Northeast has equated the ‘hydropower project scams’ in Arunachal Pradesh with the 2G rip off.

Titled “Congress Governments – Loot of North East”, the report terms the natural resources rich frontier state as a ‘soft target’ for scammers. It says; “The hydropower scam in Arunachal Pradesh is one of the biggest scams of the region. The Congress government that came to power there in 2004 signed 137 MoUs in two years and awarded the projects to dubious companies.”

Questioning the motive of Arunachal Pradesh chief minister Dorjee Khandu in allotting contracts through agreements, the BJP alleged that each power developer had to cough up Rs 2-10 lakh per megawatt as kickbacks.

“The MoUs have been signed flouting all procedures and norms set by the Union power ministry,” the party claimed. It added that the MoUs were signed at random, without public consultation and preparation of detailed project report. “Even Union environment minister Jairam Ramesh had expressed concern over this ‘MoU virus’,” the party said.

The BJP alleged that hydro power projects totaling 70,000 MW and worth Rs 400,000 crore were signed in a short period and in a non transparent and suspicious manner and that the projects had been allotted to non existing and just formed companies.

“Companies with zero business activities and zero experience and with little financial strength had been allotted hydro power projects worth Rs 100 to Rs 1,000 crore,” the party’s report said, adding some politicians formed bogus companies to get power projects.

“Licence fees and signing amounts paid by a developer to the state government were deposited in a scandalous bank in a suspicious manner,” the report said. “The hydropower scam in Arunachal Pradesh is like the 2G spectrum scam,” it added.