Sarda Energy and Metals Ltd’s (SEML) 96 MW hydro power project is facing time overrun. According to company sources time overrun is on account of unexpected geographical complexities. The project is presently being appraised by lenders’ independent engineer (LIE) to set up renewed time lines. However it is understood that the project may not be completed before July 2017. Delay in completing the project is also likely to push up the project cost. Revised cost will be ascertained based on LIE’s report.
As per original estimation the project was to cost Rs 544 crore. SEML has already incurred capital cost of Rs. 335 crore as on March 31, 2014 on the project. The project is being implemented by Madhya Bharat Power Corp. Ltd, a wholly owned subsidiary of SEML.