This is an archive article published on December 15, 2016
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Arunachal hydel power project: Rs 450-crore loss is conservative figure for fraud, says Satish Verma

Rijiju claimed that the total transportation cost in the Kameng Hydel Power Project was just Rs 400 crore and 90 per cent of the project was complete.

Written by: Deeptiman Tiwary
6 min readNew DelhiDec 15, 2016 11:27 AM IST First published on: Dec 15, 2016 at 05:07 AM IST
kiren rijiju, neepo, Arunachal dam project, Arunachal dam project corruption, corruption, arunachal corruption, Kameng Hydel Power Project, kiren rijiju fraud, fraud, indian express news, india news Union Minister of State for Home Affairs of India, Kiren Rijiju

Former Chief Vigilance Officer of the North Eastern Electric Power Corporation (NEEPCO) Satish Verma, whose report about alleged irregularities in an Arunachal dam project has named MoS (Home) Kiren Rijiju, his cousin and several officials, said Wednesday that his Rs 450-crore estimate of the loss due to the alleged fraud was a “conservative” one.

Rijiju claimed that the total transportation cost in the Kameng Hydel Power Project (KaHEP) was just Rs 400 crore and 90 per cent of the project was complete. So, he said, the alleged irregularities could not be worth Rs 450 crore.

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Responding to this, Verma told The Indian Express that he had a basis for the figure. “Each truck carries an average of 10 cubic metre of boulders. The rate fixed by NEEPCO for the contractor for extra lead (the technical name used for carriage expense) was Rs 75 per km per cubic metre, and an ad-hoc rate of Rs 60 per km per cubic metre was being paid. Given that the contractor was claiming to have brought the stones from the farthest quarries which were 80 km away, each truck would be paid Rs 48,000 for each trip (at Rs 60 per km). I had seen that extra lead payments after all deductions during Jan-May 2016 in Bichom dam were approximately Rs 9 crore per month, at an average monthly boulder utilisation of 25,000 cubic meters. For all civil work as a whole, the total boulder requirement of the project would be in the ballpark of 1 million cubic meters. Rest is a simple back-of-the envelope multiplication.”

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