Indian opponents of the controversial Maheshwar dam, being built as part of the Narmada Valley power project, have mounted pressure on the federal government here not to grant Hermes export credit guarantee to two top German companies, which would clear
the decks for their participation in the project.
According to officials of Blue 21 and Urgewald, two German NGOs supporting the cause of the dam opponents, a three-member delegation of representatives from the Narmada region held meetings with federal government officials for eight days here recently, a
few weeks ahead of the expected decision by the Schroeder government.
The delegation under the aegis of the Narmada Bachao Andolan has unequivocally demanded that Siemens and Hypovereins-Bank should not be granted the Hermes guarantee which would clear the way for their participation in the project.
The two companies have sought the Hermes guarantee from the German government for loans and turbine supplies to the tune of around $170 million for the construction of the dam and power station in Madhya Pradesh. An inter-ministerial task force here
comprising officials from four ministries foreign affairs, finance, economics and development cooperation is examining the issue.(PTI)