The delays in the execution of Renovation and Modernisation (R and M) project of Unit 1 and 2 of the Balimela Hydro Project have confirmed that the Government learnt no lessons at all and is continuing with same mistakes and ruinous path thereby aggravating the mounting losses as well as systematically damaging the energy sector of Odisha as a whole, perhaps with a deliberate ploy to privatise the State assets to favoured cronies.
The AG audit in its March 2022 report of OHPC confirmed that the State has been bleeding in terms of losses due to infinite delay in project execution, very poor workmanship, substandard materials used and not even fulfilling contractual obligations even after a delay of over 3.5 years in completing R and M works of Unit- 1 and 2 of Balimela Hydro Project.
Sources confirmed that about 25% of project work of Unit-1 and 2 has not been completed by the contractor, yet the machines were hurriedly charged by using State's own facilities, perhaps to cut down on losses and to cover up massive bungling and incompetence on the parts of both the purchaser and the contractor.
Further, even though works of Unit- 1 and 2 are only partially completed, the Government is planning to hand over Unit- 3 and 4 soon to the same failed contractor.