Shillong: The North Eastern Electric Power Corporation (NEEPCO) has cancelled a 500 MW thermal power project in Meghalaya, citing its focus on green and clean energy options.
Meghalaya Power Minister AT Mondal said on Thursday.
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He said that the project was signed with the state government but NEEPCO has now decided to pull out of it.
NEEPCO’s decision comes as a blow to the Meghalaya government, which is facing a shortage of power.
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However, the state government is now looking to other options, such as hydel power projects.
Hydel power projects have several advantages over thermal power projects. For one, they are more environmentally friendly.
Mondal said that hydel projects provide the state with 12 per cent of free power and 1 per cent power for local area development.
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Thermal power projects, on the other hand, require coal.
The Meghalaya government is currently in talks with several companies for hydel power projects.
In addition to NEEPCO, another company, DS Group, had also signed an MoU for a thermal power project in Meghalaya. However, there has been no communication from the company’s end since then.