The Meghalaya cabinet on Wednesday approved the cancellation of the Memorandum of Agreement (MoA) signed in 2010 with the M/S Sew Energy Limited for the implementation of the 65 megawatt Rangmaw Hydel Power Project.
“The cabinet today has agreed to cancel the MoA signed between the state government and the company,” said Deputy Chief Minister Prestone Tynsong after the meeting and added that the company had requested the government to cancel the agreement as it was not feasible to implement the project.
Tynsong also said that penalty clauses are there but in 2010, the (then) state government had hurriedly signed the agreement with the private company and when this company started the ground work, it found that the project was not feasible at all.
“Even the present state government has also seen that the project is not feasible as these are purely private investments…so ultimately we consider cancellation of the agreement,” he said and further informed that the Power Department will soon float a fresh Expression of Interest (EoI).
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