Patna, Sept. 16: The Bihar energy department in Bihar is busy working out points it plans to raise with Raj Kumar Singh, the newly appointed Union minister of state (independent charge) for power and new & renewable energy.

Department sources said Singh, a Bihari who represents the Ara parliamentary seat, is likely to visit the state on September 18. One of the main issues Bihar is likely to is the introduction of a universal rate for power sold to states from different plants of the country.

'It has been our long-pending demand, as a universal power rate would give a level playing field for states,' energy minister Bijendra Yadav said.

Power purchase rates vary from region to region: north, south, central, western, northeastern and eastern. 'The difference in rates happens because new power plants have higher investment cost in comparison to the ones which were set up earlier,' Bijendra explained. 'States which are getting power from the older plants get it at cheaper rates in comparison to states such as Bihar, which get power from the new plants at a higher rate.'

Bijendra said like the goods and services tax has introduced one standardised tax for the country, the power sector too should have one rate.

Bihar plans to present a detailed dossier on the differential rates when it hosts the next conference of state power ministers, likely in November this year.

Another point Bihar is likely to raise with Raj Kumar Singh is central approval to use funds meant for providing power connection to below poverty line households. The Centre has earmarked funds for 86 lakh such households for Bihar and for providing connection to each household it will give Rs 3,000 to the state.

A survey conducted by the power companies in Bihar has revealed that only about 25 lakh such households are in need of electricity connection; hence, Bihar wants to use the remaining funds to strengthen its power distribution lines.

'The issue had been flagged when Piyush Goyal was helming the Union ministry,' said a source in the energy department. 'As the Centre has still not communicated its stand on our request, it would be flagged before R.K. Singh as well.'

The state plans to raise its long-pending demand of raising the funds allocation for project management agency to 1.5 per cent of total cost instead of the existing 0.5 per cent.

A project management agency is hired for guiding the state agencies in implementing the projects efficiently and also to independently assess the project execution.

'We have hired a few project management agencies for our projects and we have experienced that it is tough to get their services with the funds provided by the Centre under its existing policy,' said a senior Bihar State Power Holding Company Limited official. 'That is why Bihar is demanding enhancement of project management agency share in the projects.'