The notes pullback had no major impact on power transmission projects as states reported no delay in implementation of these projects to the Central Electricity Authority (CEA), a power ministry official said.
The notes pullback had no major impact on power transmission projects as states reported no delay in implementation of these projects to the Central Electricity Authority (CEA), a power ministry official said. The government announced scrapping of high-value notes on November 8 last year following which there were fears that it would slow the economic growth and implementation of various infrastructure projects as well. “The CEA has received feedback from states on the subject, which suggests that there has not been any significant impact of demonetisation on the construction activities of the transmission lines and sub-stations,” a power ministry official said.
Elaborating, the official said, “In the monthly progress reports of inter-regional and inter-state transmission schemes published by the CEA for November, December 2016 and January 2017, demonetisation has not been cited as a reason for delay in transmission projects being implemented by PGCIL.” About reported difficulties in payment of daily labourers and for hiring of tractors, it may be mentioned that transmission projects involve specialised and skilled workmen. Even the machinery, tools and plants are of specialised nature and usually owned, available on long-term contract by contractors, the official said.
Also, payments to the contractors and contract labourers of PowerGrid are done through the cashless medium. PowerGrid is taking necessary steps so that even vendors can make payments directly to the bank accounts. During the period since November 8, 2017, site activities were normal and in fact, Power Grid Corporation completed a number of critical lines and sub-stations, the official added.