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Goa to review infrastructure privatisation plans

One-and-a-half months after his coalition government was installed, Goa Chief Minister Dr Wilfred de Souza has decided to review all the privatisation plans in the infrastructural sector.

Priority would obviously be given to the power sector, says de Souza, including Goa’s first mini power project of 50 mega-watt by Reliance Salgaoncar Private Limited, to be commissioned by the month-end.

The government had signed the power purchase agreement to purchase 40 MW of it at the rate of Rs 2.90 while the RSPL had signed another PPA with the Mormugao Port Trust to sell rest of the power directly.

Although this was done after the government announced its privatisation policy to generate and sell power directly, the government later approved the power privatisation proposal of the International Finance Corporation. It basically suggests a centralised private agency for transmission and distribution.

The erstwhile Congress government had also mooted privatisation proposals for a parallel drinking water pipeline from the Selaulim irrigation project in south Goa, a parallel bridge on Zuari river connecting the south to the north, sewerage system and four-lane superhighways in the tourist state.

Dr de Souza is also planning to get at least additional Rs 1 billion for Goa, using the good offices of the local Bharatiya Janata Party -- his alliance partners -- with their central leaders. He is leaving next week for Delhi for a meeting with the Planning Commission. The funds would be then allocated to the thrust areas.

The tourist state is presently facing an acute financial crunch, especially after implementing the Fifth Pay Commission recommendations since Goa has the highest number of government employees, compared to rest of the country.