The Central agency had threatened to discontinue supply to Sikkim from today for non-payment of Rs 15.95 crore dues from 1989, he said here.

The state government has also promised the National Power Grid Corporation to pay its debt of Rs four crore for hydro electricity supply from Chukha project in a phased manner, he said, adding he had a talk with the executive director of the agency.

Sikkim gets 10 MW power from NTPC and five MW from Chukha hydel power project through the grid.

Kharel said the government is facing `acute' resource crunch for various reasons, including pay revision of government employees and restoration of non-functional power projects.

Kharel said the Sikkim Government would recommission three power projects of 13 MW capacity,which have been non-functional for about a year, within the next ten days.

The eight MW Urps, 2.5 MW Jali power house and 2.5 MW Jali (stage II) projects have been non-operational since last year's landslides, which affected them.

The recommissioning would provide at least seven MW to the state, which will then not have to depend on supply from Chukha for its east and north districts during the day time, he said.

However, the south and west districts and part of east district would require power supply from NTPC and Chukha power project during the peak hours, he added.

Interestingly, several states owe crores for pending dues of their electricity boards. Even Madhya Pradesh and Rajasthan are under similar strain.