Precious Kashmir News
Srinagar, May 6: The work on HVDS transformers has been stopped by the agitating contractors to whom the contract was allotted few years back and presently the Power Development Department is caught in a row over demands put up by the contractors of the company to whom the contract was allotted.
Informed sources said that the work on HVDS transformers initiated much before 2014 floods was badly hit when the equipments brought Srinagar were damaged severely and the company to whom the contract was allotted could not execute the works within the stipulated time of two years. Following the non executing of works in the given time of two years the PDD department, sources said, imposed penalty of 29 crores on the contractors of the company tasked to execute the project.
Sources said when the work was stopped the contractors of the company executing the project were approached by the government and they put up several demands including return of additional bank guarantee of rupees seventy crores penalty of 29 crores imposed for non execution of project in the given time of two years.
A top government official without wishing to be named said “the chief minister had last year directed the then Finance Minister Dr Haseeb Drabu to settle the issue with the contractors of the company executing the project but the issues were not settled for a variety of reasons. However with the takeover of the charge of Power Development Department by a new minister we hope a breakthrough for immediate resumption of the pending works. (KNS)