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Concern over delay in funds utilisation for energy projects

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The Hindu 12.04.2010

Concern over delay in funds utilisation for energy projects

Mohamed Nazeer

KANNUR: Many local bodies that have joined the State government's programme to implement projects under the Total Energy Security Mission (TESM) through the Agency for Non-Conventional Energy and Rural Technology (ANERT) have voiced their concern over the inordinate delay in utilising the funds they have transferred to the agency to carry out various power conservation activities envisaged under the initiative.

Many local bodies, including district and grama panchayats and municipal corporations, have written to ANERT seeking utilisation and performance certificates for the funds they have deposited with the latter to implement the works which, as per the agreements executed between them and ANERT, should have been completed by June 30 last year.

As many as 440 local bodies have so far joined the initiative and transferred nearly Rs.33 crore to ANERT. As no utilisation and performance certificates have so far been issued by ANERT, many of the local bodies have been forced to ask for the agency's response in the wake of objections in the local fund audit reports. Sources say that more local bodies may step up their efforts to demand speedy implementation of the projects to achieve utilisation of the funds.

Flagship project

The TESM, conceived by the State Planning Board as a flagship project on total energy security in the State, sees provision of clean and convenient sources of lifeline energy for lighting and cooking to every household, tapping of non-conventional energy sources and promotion of management and energy conservation with active participation of local bodies.

An amount of Rs.50 crore has been earmarked for the TESM programme during the Eleventh Five Year Plan period. The local bodies that have joined the initiative have already transferred their allotted funds for the projects under the TESM, including panchayat-level power-line mapping. Among the local bodies that have taken exception to the delay in completing the projects under the TESM is the Kozhikode district panchayat which transferred Rs.81.7 lakh in two instalments to the agency.

In a letter dated December 1, 2009, Panchayat Secretary says no official of the ANERT attended a meeting convened by it to discuss the delay in utilising the funds. The Methala grama panchayat in Thrissur, expressing similar sentiments in its letter dated February 8 last, wants ANERT to pay the interest on the Rs.9.8-lakh transferred for the TESM works. The Valayam grama panchayat in Kozhikode, which deposited Rs.3.4 lakh as the first instalment of the multi-year Rs.6.4-lakh project under the TESM and pilot Akshaya Energy production for 2007-08, has sought the utilisation certificates in its letter dated November 26 last year.

Among other local bodies that have voiced their grievances include the Kanchiyar panchayat in Idukki that deposited Rs.4 lakh and the Koottickal panchayat in Kottayam that transferred Rs.3 lakh. The Kollam and Kottayam district panchayats have also moved in this direction.

Complaints

Admitting that there are complaints from the local bodies, V. Anilkumar, State Technical Director, ANERT, says the works envisaged under the TESM will be completed and funds utilised before coming June. ‘‘We have already started steps for restructuring ANERT as the TESM programme is too big to be carried out by the agency with its skeletal staff.''

According to Mr. Anilkumar, the government order asking the local bodies to transfer the funds to ANERT is to avert funds lapse in 2008. Though steps have been taken by ANERT to float tenders to purchase equipment in the non-conventional energy field, there is delay due to lack of participants in the tender procedure. In November last, a technical committee had been formed and it decided to procure the equipment through e-tendering.

He says the effort has not attracted participation of vendors. So the committee has decided that some equipment can be purchased if their prices are reasonable. The ANERT executive committee, however, decided to go for re-tendering. He says steps are now under way to sort out the problems and complete the works.

The sources say that purchase and distribution of renewable energy equipment are not part of the agreement between the local bodies and ANERT.

Last Updated on Monday, 12 April 2010 07:22