Himachal orders probe into hydel project costs

Shimla, Sep 26 (IANS) A probe has been ordered by the Himachal Pradesh government into a hydel project that was built by the state electricity board at double its estimated cost.

The 126 MW Larji hydel project in Mandi district was built by the Himachal Pradesh Electricity Board (HPSEB) 40 months behind schedule, which resulted in its cost doubling to Rs.13 billion.

The state cabinet ordered an inquiry late Monday after citing the findings of the Comptroller and Auditor General of India (CAG).

At Rs.100 million per megawatt, the Larji project is considered the costliest medium hydel project in the country.