Agartala, Jan 9 (TIWN / IANS) The Tripura government has initiated a move to illuminate Agartala through LED lights, replacing sodium vapour and other lamps to save energy by over 40 percent, a minister said here Friday.

"The Agartala Municipal Corporation (AMC) has signed an MoU (Memorandum of Understanding) with Energy Efficiency Services Limited (EESL) to put up LED (Light Emitting Diode) lights in the entire Agartala city," Power and Urban Development Minister Manik Dey told reporters.

He said: "The entire cost of the project of Rs.20 crore (to put up 35,000 LED lights) would be borne by the EESL. After completion of the work within the next few months, over 40 percent of electricity would be saved."

The first stage (18 km) of the three-phase project has been completed Thursday.

The EESL, a joint venture of PSUs of the union power ministry, carries out and promotes the business of energy efficiency and climate change, including manufacture and supply of energy efficient services, and products and implement energy efficient projects.

Agartala will be the second city in eastern India after Kolkata to instal LED street lights. So far, Hyderabad and Vijayawada have LED lighting systems.

With a population of around five lakh, the AMC is the northeast India's oldest municipal body. The Agartala Municipal Council was tuned into municipal corporation last year.

Agartala is the second largest city in northeast India after Guwahati in Assam.

According to a historian, the capital was shifted to Agartala in 1838 from Puran Habeli, 12 km from here, by king Krishna Kishore Manikya Bahadur (1830-1849).

The Agartala Municipality was constituted in 1871 during the reign of erstwhile ruler Maharaja Chandra Manikya (1862-96).