BHUBANESWAR: The State government on Wednesday approved the Energy department’s proposal for conversion of Rs 400 crore bond issued in its favour by Grid Corporation of Odisha Ltd (Gridco) to equity of Odisha Power Transmission Corporation Limited (OPTCL).
The State Cabinet chaired by Chief Minister Naveen Patnaik decided to convert the bond and the interest accrued on it to equity capital in OPTCL to reduce the interest burden on the public sector undertaking.
Bonds worth Rs 400 crore, both convertible and non-convertible of Rs 200 crore each, were issued in favour of the State government by Gridco as its assets were upvalued after dismantling of the erstwhile Odisha State Electricity Board (OSEB).
After formation of OPTCL as a transmission utility in 2005, Gridco transferred the bond to the new entity on June 9 in the same year. As OPTCL is not in a position to service the interest and redeem the bond, it requested the government to convert it to equity.
The government, however, decided in 2010-11 financial year that the bond will not carry any interest. With the conversion of the bond to equity, the government took care of this liability of the utility. The Cabinet also decided to take care of outstanding electricity duty of government departments payable to distribution companies (discoms) amounting to Rs 250.14 crore as on March 31, 2020 by adjusting against the NTPC bond issued to the discoms.
Phulbani MCH approved
Bhubaneswar: Odisha Cabinet on Wednesday gave its nod for construction of a 100-seat government medical college and teaching hospital at Phulbani and 650-bed teaching hospital for the government medical college in Koraput district on turnkey basis. Construction work of the projects has been awarded
to Shapoorji Pallonji and Company Pvt Ltd which had offered the lowest bid of `680 crore for its execution. The projects have been targeted to be completed within 36 months.
Retd HC judge to head fee panel
Bhubaneswar: A retired judge from the Orissa High Court nominated by the Chief Justice will act as the chairperson of the fee structure committee of technical and professional institutions in place of the VC of BPUT. The Cabinet has given its nod for amendment of the Odisha Professional Educational Institutions (Regulation of Admission and Fixation of Fee) Act, 2007 by promulgation of an ordinance.
Two piped water projects get Cabinet nod
Bhubaneswar: The State Cabinet on Wednesday gave its go-ahead to two rural piped water supply projects worth Rs 724 crore under BASUDHA (RIDF) scheme to provide safe drinking water in Bargarh district. A project worth Rs 508.75 crore was approved to provide piped water supply to 5.08 lakh people in 349 villages in five blocks of the district.
Over 1.63 lakh people of 62 villages in Bargarh block, 1.39 lakh people of 73 villages in Attabira block, 1.06 lakh people of 109 villages in Bijepur block, 92,976 people of 102 villages in Gaiselet block and 5,766 people of three villages in Barpali block will be benefited after completion of the project. The project work has been awarded to Chennai-based L&T Ltd and deadline for the work will be 24 months. Similarly, a project worth Rs 215.31 crore has been approved for execution of piped water project for 2.29 lakh people of 164 villages in two blocks - Barpali and Bheden - in the district. KEC-Kaveri (JV) will execute this project within 24 months.