Hydro Projects in Top Priority List, says Sushil Kumar Shinde

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Vishal Singal

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Jul 20, 2006, 1:39:40 AM7/20/06
to India Hydro-Electric Power
Hydro projects in top priority list, says Sushil Kumar Shinde
Source: IRIS (19 July 2006)

The Union Power Minister, Sushil Kumar Shinde has reiterated that the
development of hydro projects in the country is among the top priority
list of the government and several steps have already been taken in
this direction, including attracting private investment.

The minister informed that an ambitious plan for hydro capacity
addition of about 15,000 MW during 11th Plan is being finalized. For
this, he said, a number of issues such as timely sanction of projects,
speedy environmental and forest clearance, rationalization of
conditions imposed on hydro projects while giving clearance on wildlife
related issues, excessive payment of Net Present Value for forest land,
release of minimum of 15% of lean season discharge directly into the
river etc. need to be addressed.

Shinde stated that a hydro capacity of 5980 MW has already been added
in the 10th Plan so far and expressed confidence that another 10,000 MW
of capacity would be added in the current plan which would be highest
ever capacity addition from the hydro sector in any Five Year Plan.

He pointed out that the country`s hydro potential from major / medium
schemes is placed at 84,044 MW at 60% Load Factor which when fully
developed, would yield an installed capacity of over 1,50,000 MW. Out
of this only 28% has either been exploited or is under exploitation so
far.

Hydro development has experienced a steady rise from 508 MW in 1947 to
32,735 MW now, which indicates a growth of hydro power by about 63
times in a period of over five decades.

However, the growth of thermal power has been as much as 96 times
during the same period. At present the share of hydro power accounts
for only about 26% of the total capacity.

The union minister also informed that the government has approved a
3-stage clearance procedure for hydel projects to be executed by
Central Public Sector Undertakings (CPSUs) in consultation with the
Ministry of Finance and the Ministry of Environment and Forests.

The procedure introduced is to reduce time and cost over runs in
execution of hydro projects. Further, it has been ensured that there
would not any dearth of funds for execution of projects in Central
Sector.

In regard to facilitate the entry of the private sector in hydro
generation, the minister said that the Centre has issued guidelines
empowering the State Governments to develop hydroelectric projects
having a capacity of up to 100 MW by the MOU route, in case this route
was considered more feasible. However, projects above 100 MW required
to be developed through tariff-based bidding.

Vishal Singal

Singal Hydel Consulting SHC
"Power House" # 892, Sector 12
Panchkula 134 112, HRY INDIA
Tel +91 9888188891, 9888288892
E-Mail: singa...@yahoo.com
Web: http://www.himurja.com
[Tapping the Power of the Himalayas]

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