Question : ELECTRIFICATION WORK UNDER RGGVY



(a) whether poor performance of implementing contractors engaged by the Central Public Sector Undertakings (CPSUs) delay the completion of the electrification work under the Rajiv Gandhi Grameen Vidyutikaran Yojana (RGGVY) during 11th Plan in the country including Odisha;

(b) if so, the details thereof;

(c) whether the Government proposes to give directives to these Public Sector Undertakings (PSUs) for expediting the electrification works under the RGGVY;

(d) if so, the details thereof; and

(e) the directives given to the Rural Electrification Corporation Limited (REC) for approving the balance revised cost estimates of the sanctioned projects in various States in the country?

Answer given by the minister


THE MINISTER OF STATE IN THE MINISTRY OF POWER (SHRI K.C. VENUGOPAL)

(a)to(d): Under Rajiv Gandhi Grameen Vidyutikaran Yojana (RGGVY), the projects are executed on turnkey basis by the Implementing Agencies. Accordingly, the Implementing Agencies award the contracts to the contractors. The performance of Central Public Sector Undertakings(CPSUs) viz. Powergrid Corporation of India Limited(PGCIL), National Hydro-electric Power Corporation(NHPC), National Thermal Power Corporation(NTPC) and Damodar Valley Corporation(DVC) is satisfactory in the country including Odisha in regard to progress achieved during 11th Plan Period.

The performance of CPSUs is as under:-

CPSUs	Un/de-electrified villages	BPL households
11th Coverage Achievement Percentage Coverage Achievement Percenta- Plan (as on with (as on ge with 15.11.2011) respect to 15.11.2011) respect coverage to coverage
PG CIL 9236 8283 89.68 % 2412009 1593110 66.05 %
NHPC 5773 5253 90.99 % 1557840 1213990 77.93 %
NTPC 11630 11139 95.78 % 2513243 2155846 85.78 %
DVC 3552 2747 77.34 % 290749 212877 73.22 %

Ministry of Power(MOP) and Rural Electrification Corporation (REC), the nodal agency for RGGVY, are regularly conducting review meetings to monitor the progress of RGGVY works under implementation including Odisha. Government of India has set up an Inter-Ministerial Monitoring Committee which periodically meets to sanction projects and review progress of implementation. District Committees have been set up in all the States to monitor the progress of rural electrification works. The States have also been requested to hold monthly meeting under the Chairmanship of Chief Secretary to resolve the bottlenecks in implementation of RGGVY. Necessary directives are issued to all agencies including CPSUs to expedite the works. The progress of works of CPSUs in the State of Odisha, is as under:
CPSUs	Un/de-electrified villages	BPL households
Coverage Achievement Percentage Coverage Achievement Percenta- (as on with (as on ge with 15.11.11) respect to 15.11.11) respect coverage to coverage
10th Plan
PGCIL - - - -
NHPC 1101 1101 100.00 % 163998 156100 95.18 %
NTPC 1081 1075 99.44 % 184484 186200 100.93 %
11th Plan
PGCIL 4670 3849 82.42 % 1285512 911783 70.93 %
NHPC 3488 3158 90.54 % 351297 232678 66.23 %
NTPC 4379 4360 99.57 % 1217289 987403 81.11 %
Total 14719 13543 92.01 % 3202580 2474164 77.26 %

Under RGGVY, the guidelines for Revised Cost Estimate (RCE) are as follows:

While implementing the project, in the event of any variation in the project parameters for increase or decrease in the project cost, the implementing agency submits the revised cost estimate to REC, through the State Government for consideration of revised sanction from REC. However, subject to technical suitability, REC considers revised sanction of the cost estimates under the following circumstances:

i) Change in scope;

ii) Change in statutory levies;

iii) Price escalation; and

iv) Under-estimation of quantities in the absence of detailed field survey at the time of sanction.

The policy / guidelines regarding approval of RCE as per the decision of the Monitoring Committee on RGGVY are as under:

A Cost variation up to 10% excluding Price Variation(PV) Chairman and Managing and taxes with reference to awarded cost of a project Director (CMD) of CPSUs

B Cost variation up to 20% excluding PV & taxes with CMD, REC reference to awarded cost of a project

C Cost variation more than 20% excluding PV & taxes Monitoring Committee on RGGVY

M/s. REC has been directed to expedite the decision on all pending Revised Cost estimate proposals.