The Ministry of Economic Affairs (MoEA) targets to achieve a breakthrough with the status of Punatshangchhu I Hydroelectric project in this financial year. The Economic Affairs Minister Loknath Sharma shared this at the signing of the ministry’s Annual Performance Agreement (APA) with the prime minister today.
“Within this year, we will pursue Punatsangchu I in such a way that we at least get a breakthrough because now it has been almost 4 years without a clear-cut breakthrough. That is why there are so many confusions with time and cost delays. Therefore within this few months, by December, we will make sure that there is a breakthrough and we exactly know when it will be completed, how it is going to go and when it will be done. That is a promise I can make because we must do it, ” the Economic Affairs Minister Loknath Sharma, said.
The PHPA-I which commenced in November 2008 has now been projected to complete only in 2024-2025 rather than planned completion date of 2015-2016. The delays were mainly caused by the time needed to undertake stabilisation measures of the right bank.
Lyonpo also added that a separate APA will also be signed with the management of the hydropower sector heads from this year to avoid time delays and other dilemmas.
The other areas, the ministry will be focusing on the development of the mining sector, cottage and small industry (CSI) and private sector development.
The government submitted the mines and minerals bills to the parliament realising the huge impact it has on the country’s economy. Lyonpo Loknath Sharma said that mines and minerals sector is not contributing much to the growth of Gross Domestic Product as the ministry expects. The ministry will be consulting with the developed countries to make the mining more sustainable and professionalised the sector through various measures.
“We can improve this and we can attract FDI’s in the mining sector to do it sustainably. Therefore we have submitted the mines and minerals bill to the assembly. There are ways to professionalise the sector. That is why we are even working with some of the best-known countries so that we make our mining sector better”.
And with the primary objective to diversify the economy, CSI development will be targeted in rural communities. The ministry will provide one window service for CSI at least at dzongkhag level to create awareness on various opportunities such as agriculture, generating employment and resource mapping.
“Cottage and small industry must move away from urban centres. It must move to the rural economy. If we want to make our economic base strong, the rural economy is the base. We have 70 per cent of the population depending on agriculture, which is sustainable. We will make sure that CSI reaches the rural economy and rural economy also becomes enterprising,” Lyonpo Loknath Sharma added.
Similarly, private sector development is one of the ministry’s top priorities for the fiscal year. The ministry will develop new policies and amend the existing policies to favour economic growth and consult with relevant stakeholders to develop the private sector.
