Even as the Baitarani Hydro Power Project is set to be inaugurated near Anandpur in Kendujhar district on November 7 by Chief Minister Naveen Patnaik, many questions have arisen on the enhancement of project cost and alleged evasion of GST on purchases. The initial cost of the project was approved at Rs 167 crore and it was targeted that the project would be completed in three years from 2014 to 2017. However, its completion was delayed by three years and the project cost rose to Rs 410 crore, which has raised eyebrows in experts’ circle now.
“A three-year delay is not a big time gap for completion of hydro power project. It is not understood how the project cost increased by more than double of the initial cost,” said an expert.
Sources said the project has been mainly funded by the Central Government’s Indian Renewable Energy Development Agency (IREDA), Power Finance Corporation (PFC) and India Infrastructure Finance Company Limited (IIFC). For such a big project, purchases made by the company ought to have given good amounts of revenue to the Central and State exchequer.
But it is alleged that GST has been evaded in purchases and sale of various goods as most of these transactions have been made allegedly through cash.
Even though the project has been set up in Odisha, the company has not set up an office for the project in the State which has been questioned by many.“Many departments are linked to the project.
Equipments and materials worth hundreds of crores have been purchased for the project. There is no office of the company here to answer different questions being raised by people,” said the expert. Many concerned people have now demanded that the Crime Branch or the CBI conduct investigations into the allegations in the interest of the State.