Contractor for India largest hydel project in poor financial condition

The country's largest hydel project seems to have run into trouble owing to poor financial condition of its contractor.

NHPC's Subansiri Lower HEP, being developed by Larsen and Toubro Limited, is running behind schedule with regards to the targeted progress in dam since the contractor has sought NHPC's approval for financial assistance of Rs 40 crore.

The NHPC Board's approval has now been sought for the matter.

On the other hand, the Joint Secretary (Hydro) is appeased with the impressive progress the project has shown in the past few months.

However, the contractor, having encountered rocks at higher elevation has suffered a great deal owing to contractual problems arising due to decrease in the concrete quantity of the dam.

NHPC is making efforts to resolve this issue at the earliest so that pace of works does not get affected.