DOLAKHA, Aug 8: Locals of Dolakha have said the share distribution modality floated by Upper Tamakoshi Hydropower Limited (UTHPL) is discriminatory.
The hydropower project has set aside 10,590,000 units of preferential shares for the locals of the project affected area.
The meeting of district-level coordination committee led by Local District Office of Dolakha held on Thursday had decided to allow Dolakha locals to apply for a minimum of 50 units and a maximum of 500 units of shares.
But locals have termed the share allotment and distribution model discriminatory. Locals say people applying for higher units will get higher number of shares and those applying for lower units will get lower number of shares.
Face value of each share will be Rs 100.
The population of Dolakha is estimated at 200,000. Analysts say an estimated 40,000 (20 percent of the total population) will apply for the highest number of shares. This means this group will apply for 20 million units. However, remaining 150,000 (80 percent of the population) have the capacity to apply for the minimum units i.e. 50 units each. This means 80 percent of the population will apply for only 8 million units. As per the allotment modality finalized on Thursday, 20 percent of the applicants will get 70 percent of the shares allotted for the locals, while 80 percent of the applicants will get only 30 percent of the shares.
CPN-UML leader Ananda Pokharel said the share allotment modality finalized on Thursday will not help in proportionate distribution of shares. He suggested to the company to allot shares in an equitable manner so that both rich and poor applicants get their fair share.
An employee of Securities Board of Nepal (Sebon) said the modality is discriminatory as people who apply for higher volumes of shares will get higher number of shares.
Bishal Khadka, leader of UCPN (Maoist), said his party will oppose the share allotment modality as they were not invited in the meeting to finalize the modality.
Dolakha-based Advocate Shyam Basnet said the allotment modality should be corrected at the earliest.
Similarly, Krishna Bahadur Khadka, president of Dolakha chapter of Nepali Congress said the modality was endorsed despite his objection.
The 456-megawatt project is being developed by mobilizing local resources. The project has allotted 10 percent of the shares for locals of Dolakha.
Similarly, another 15 percent will be offered to general public. The project is estimated to cost Rs 35 billion.
Source : Republica