SHILLONG: The state government has terminated the memorandum of association (MoA) with JP Power Ventures Limited for the 270-megawatt Umngot Hydro Electric Project after it failed to take off even after 13 years.
Speaking to media persons after a Cabinet meeting here on Friday, Power Minister James Sangma said that the deposited Rs 1.35 crore need not be returned to the firm.
He said the decision to scrap the MoA was taken as the project has not taken off even after so many years. It was signed way back in 2007.
“To ensure that the project does not hang in limbo, we decided to clear the status of the MoA once and for all,” he said.
He said that one of the main reasons for terminating the MoA was that the firm was facing a lot of financial problems.
On being asked if a new Expression of Interest (EoI) would be floated for the project, Sangma said that the government is looking at it. “The decision taken today was only about terminating the MoA”, he said.